The Hong Kong government has recently distributed over HK$520 million through a “baby bonus” scheme designed to provide financial assistance to families with newborns in an effort to address the city’s declining birth rate. According to a Legislative Council paper released on Tuesday, a total of 26,948 applications were received from October of last year to the end of September, with funds being allocated to more than 95% of applicants.
Known as the Newborn Baby Bonus scheme, this initiative was introduced during Chief Executive John Lee’s Policy Address last year. The scheme offers a one-time HK$20,000 allowance to families where at least one parent is a Hong Kong permanent resident and their baby was born between October of last year and October 2026. These cash handouts are part of a series of measures unveiled during last year’s Policy Address with the aim of boosting the city’s birth rate. Additionally, the Housing Authority has pledged to prioritize families with children in the process of purchasing subsidized flats under home ownership schemes, while also reducing the waiting time for families with newborns in the public housing queue by one year.
The implementation of these policies comes in response to Hong Kong’s declining fertility rate, which mirrors trends seen in other developed societies. In 2023, the city recorded 751 births per 1,000 females, a significant drop from 1,125 a decade ago. Despite the government’s efforts to incentivize childbirth through financial assistance and housing support, some residents feel that more needs to be done to address the challenges of raising children in Hong Kong. Criticisms include insufficient childcare options and the high cost of child-rearing in the city.
A survey conducted earlier this year by the Family Planning Association of Hong Kong revealed that only about half of the city’s young adults are planning to have children, marking a record low. In response to these concerns, Chief Executive John Lee announced in this year’s Policy Address that civil servants with children under the age of three will be granted childcare leave starting from next April. Government employees will be entitled to three days of childcare leave annually as part of the administration’s efforts to support families.
As Hong Kong continues to grapple with demographic challenges and declining birth rates, the government is implementing various initiatives to encourage childbirth and support families. While financial assistance through the baby bonus scheme is a step in the right direction, addressing broader issues such as childcare provisions and the overall cost of living for families in the city remains a priority. By prioritizing family-friendly policies and support measures, Hong Kong aims to create a more conducive environment for raising children and ensuring the well-being of its residents.