Minister declines to set targets for birth rate proposals

Taipei, May 28 (CNA) Taiwan's government on Thursday declined to set a time frame or targets for a package of measures unveiled a day earlier by President Lai Ching-te (賴清德) to reverse the country's declining birth rate, saying the policies would be reviewed "on a rolling basis."

Lai on Wednesday announced a series of proposals aimed at boosting Taiwan's birth rate, including monthly NT$5,000 (US$160) subsidies for children aged 17 and under, subsidies for people undergoing assisted reproduction treatment, and a 1 percentage point cut in student loan interest rates, along with a one-year deferral of repayment deadlines.

The package is estimated to cost NT$380 billion annually, roughly equivalent to 1 percent of Taiwan's GDP, Lai said, adding that South Korea had spent a similar share of GDP on efforts to raise its birth rate.

Statistics released by the Ministry of the Interior showed that Taiwan's birth rate fell to 0.69 last year, one of the lowest in the world.

However, at a weekly Cabinet news conference Thursday, National Development Council Minister Yeh Chun-hsien (葉俊顯) declined to set a timeline or target, saying the results of population policies depend on people's willingness to start families and are therefore difficult to predict.

"We cannot tell you straight away how many children will be born next year or five years from now," Yeh said.

The measures are meant to send a "signal" to younger generations that the government will provide strong support if they decide to get married and have children, he added.

A Cabinet-level task force responsible for overseeing the implementation of the measures will review their effectiveness on a rolling basis, Yeh said, adding that effective policies will be expanded, while weaker ones will be adjusted.

Premier Cho Jung-tai (卓榮泰) has instructed relevant agencies to earmark funding for the proposed measures in the general budget for fiscal year 2027, according to Cabinet spokesperson Michelle Lee (李慧芝).

Asked about the source of the funding, Chen Shu-ping (陳淑萍), an official from the Directorate-General of Budget, Accounting and Statistics, said increased tax revenues resulting from Taiwan's strong economic performance would be sufficient to fund the proposed policies.

Taiwan posted GDP growth of 8.68 percent in 2025, and that growth is expected to continue this year, Chen said, citing GDP growth of 13.69 percent recorded in the first quarter.