South Korea saw more deaths than births in 2020, raises alarm

South Korea recorded more deaths than births in 2020 for the first time ever, causing fresh alarm in the country. The country already has the world’s lowest birth rate.

BBC reports that only 275,800 babies were born last year, down 10% person from 2019. Around 307,764 people died.

This alarming figures prompted the South Korea government to call for major changes to its policies.

A declining population puts immense strain on a country.

Last month, President Moon Jae-in launched several policies aimed at addressing the low birth rate, including cash incentives for families.

Under the scheme, from 2022, every child born will receive a cash bonus of 2 million won ($1,850; £1,350) to help cover prenatal expenses, on top of a monthly payout of 300,000 won handed out until the baby turns one. The incentive will increase to 500,000 won every month from 2025.

A declining youth population and increased cost of living lead to labour shortages that have a direct impact on the economy.

The major reason for South Korea’s falling birth rate is the country’s employment policies are not favourable to women who want to have children. Hence, South Korea’s women struggle to achieve a balance between work and other life demands.

Soaring real estate prices are another major issue which discourage young couple to have children as it increase the expenses.