Vietnam proposes financial incentives for families with two daughters

Vietnam's Ministry of Health is proposing new financial and in-kind incentives for families who have two daughters and do not have sons. This groundbreaking initiative, part of a broader draft Population Law for 2026-2035, aims to tackle the country's persistent gender imbalance at birth and a historically low fertility rate. By directly addressing the traditional preference for sons, the government hopes to encourage gender balance, ensure sustainable demographic development, and support families who contribute to this vital societal shift.

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Addressing a Deep-Rooted Challenge: The Son Preference

Vietnam is grappling with a significant demographic challenge: a skewed sex ratio at birth, where more boys are born than girls, and a rapidly declining overall fertility rate. To combat these issues, the Ministry of Health (MoH) has unveiled a series of bold proposals, prominently featuring financial and in-kind support for families who have two daughters and do not have sons.

This proposed policy, announced by Health Minister Dao Hong Lan on World Population Day (July 11), is part of a comprehensive draft Population Law and a national health and population program for 2026-2035. It represents a direct attempt to influence societal norms and mitigate the deeply ingrained preference for sons, which has historically contributed to the gender imbalance.

The Demographic Imperative

Vietnam's demographic landscape presents several alarms:

  • Gender Imbalance at Birth (SRB): Despite bans on sex-selective abortions and pre-birth gender disclosure, the sex ratio at birth remains critical. In 2024, the national average was 110.7 boys per 100 girls, with some northern provinces like Bac Ninh reporting as high as 120 boys per 100 girls. The natural ratio is typically 104-106 boys per 100 girls. This imbalance is particularly pronounced in families with no sons from previous births, leading to social consequences and a potential future "male surplus."

  • Record-Low Fertility Rate: Vietnam's total fertility rate dropped to a historic low of 1.91 children per woman in 2024, below the replacement level of 2.1 needed to maintain a stable population. This trend, if unaddressed, poses serious threats to economic growth, social stability, and national security due to an aging population and potential labor shortages.

Proposed Incentives and Broader Policies

The proposed financial incentives for families with two daughters are a key component of a multi-pronged strategy. While specific details of the financial or material support are yet to be finalized, the intent is clear: to acknowledge and reward families who contribute to gender balance.

Beyond this targeted incentive, the draft Population Law includes a range of other measures aimed at bolstering population quality and growth:

  • Childbirth Incentives: Broader financial support or other benefits for families having children, regardless of gender. Ho Chi Minh City, for example, has already implemented a policy offering VND 3 million (approximately $120 USD) to women who have a second child before age 35.

  • Extended Maternity Leave: Proposals for longer maternity leave benefits to support new mothers and families.

  • Prenatal and Neonatal Screening Support: Financial assistance for health screenings before and after birth to improve population quality.

  • Housing Subsidies: Prioritized access to social housing for families with children.

  • Elderly Care Systems: Development of robust systems to care for Vietnam's rapidly aging population, including tuition waivers or scholarships for students in geriatrics.

  • Premarital Health Screenings: Encouraging health screenings before marriage to prevent congenital disorders.

  • Combating Gender Prejudice: Continued public awareness campaigns to shift societal attitudes away from the son preference and promote gender equality. The MoH also proposes tripling the fine for choosing a baby's sex before birth to $3,800.

United Nations Population Fund (UNFPA) representatives in Vietnam have praised the country's proactive approach, emphasizing that empowering individuals to make informed reproductive choices is central to sustainable development and strengthens families.

By addressing both the declining birth rate and the gender imbalance through a combination of incentives, educational campaigns, and legal frameworks, Vietnam aims to ensure a healthier, more balanced, and sustainable demographic future. The proposed financial support for families with two daughters signifies a bold and direct step towards achieving this critical national goal.

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