Local governments in South Korea spent more than 3 trillion won on childbirth support policies last year for the first time on record. The amount represents nearly a threefold increase in just two years. The surge is widely attributed to a range of incentives, including marriage and childbirth grants and housing support, aimed at sustaining the recent rebound in the country’s birthrate.
According to a report titled “Analysis of Childbirth Support Policies in 2025,” released Jan. 1 by the Ministry of Health and Welfare and the Korea Institute of Child Care and Education, combined budgets for childbirth support programs run by metropolitan and local governments totaled 3.0172 trillion won last year. Spending had stood at 1.1118 trillion won in 2023 and 1.4661 trillion won in 2024, remaining in the 1 trillion won range before climbing 2.7 times over two years.
By type of support, services accounted for the largest share at 1.5834 trillion won, or 52.5 percent. This category includes housing supply programs for newlywed couples. Cash payments followed at 988.7 billion won, or 32.8 percent, while vouchers, such as local currency coupons, totaled 134.6 billion won, or 4.5 percent. Excluding Seoul’s public housing program for newlyweds, known as “Mirinae Housing,” which alone carries a budget of 1.4894 trillion won, most assistance effectively takes the form of cash payments.
South Korea’s total fertility rate, defined as the average number of children a woman is expected to have, rebounded to 0.75 in 2024, marking its first increase in nine years. It is projected to rise to 0.8 last year, extending the upward trend for a second consecutive year. Experts said sustaining the recovery will require moving beyond one-time cash incentives and investing in local infrastructure that enables a better balance between work and family life.
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