1st LD: Childcare subsidy to benefit tens of millions of Chinese families: official

BEIJING, July 30 (Xinhua) -- China's childcare subsidy, set at a standard of 3,600 yuan (about 503 U.S. dollars) per year for each child under the age of three, will directly increase family incomes and benefit tens of millions of households each year, said an official from the National Health Commission (NHC).

Guo Yanhong, deputy head of the NHC, said the childcare subsidy is aimed at easing the financial burden of raising children for families. As a targeted economic policy supporting childbirth, the subsidy will be distributed through fiscal funding.

Guo noted that the subsidy helps foster a more birth-friendly social environment, and that the childcare subsidy works in tandem with related policies regarding childcare, education, employment, taxation and housing.

The subsidy standard was set based on factors such as childcare costs and fiscal capacity, while also drawing on international practices. According to Guo, direct financial support is a common policy tool to encourage childbirth globally. In China, some local governments have piloted similar programs, which have been well-received by the public.

Guo noted that the childcare subsidy marks the first large-scale, universal, and direct cash assistance program aimed at enhancing public well-being ever implemented nationwide since the founding of the People's Republic of China.

According to Guo, the subsidy is available to all eligible children, regardless of whether they live in urban or rural areas, their ethnicity, region, or whether they are the first, second, or third child in the family.

Guo said that regions that previously lacked such subsidies or had limited coverage or lower standards of subsidies are now required to adopt the national policy to ensure equal access. Local programs that exceed national standards may continue after evaluation and record-filing.

Supporting childbirth requires a comprehensive policy package, Guo added, including financial support, parental leave, and cultural measures. She encouraged local governments to introduce complementary policies alongside the national subsidy to ease the burden families face with regard to childbearing, childrearing, and education. Enditem