Mar 18 • 16:45 UTC 🇫🇮 Finland Ilta-Sanomat

Director of the Ministry of Finance proposes an almost €20,000 childbirth bonus – does not support it himself

In Finland, experts are discussing potential financial incentives, such as a childbirth bonus, to encourage higher birth rates amid declining numbers.

In Finland, a debate has emerged regarding ways to incentivize childbirth in response to the country's declining birth rates. At a recent Kela event, experts contemplated the possible introduction of substantial bonuses for families, including a suggested €7,000 for the first child and an additional €1,000 for subsequent children. Anneli Miettinen, the research director at Kela, acknowledged that such incentives could have a temporary positive effect, though they might prove costly for the government.

However, the effectiveness of financial bonuses has come into question. Kari-Pekka Mäki-Lohiluoma, the acting director general of Kela, noted that while some municipalities have experimented with these bonuses, they have seen limited impact on increasing birth rates. This skepticism reflects a broader concern about the long-term sustainability of relying on financial incentives to encourage families to have more children.

Olli Kärkkäinen, the strategy and research director of the Ministry of Finance, raised an interesting point regarding the total amount of childcare allowances that accumulate, amounting to an average of €17,100 until the child turns 17. While this figure seems significant, it may not feel impactful when viewed as monthly payments. Kärkkäinen's notion of a €20,000 childbirth bonus prompts a discussion about how such a one-time payment might differently influence family decisions as opposed to the gradual support currently in place.

📡 Similar Coverage