Japan Panel OKs Childbirth Allowance Hike to 500,000 Yen

Tokyo, Dec. 15 (Jiji Press)--A subcommittee of a Japanese health ministry panel broadly approved a plan on Thursday to raise from next April the childbirth allowances per baby to a uniform 500,000 yen from 420,000 yen in principle at present.

The plan is included in a draft package of health insurance reform steps aimed at enhancing support for child-rearing households and dealing with ballooning medical expenses caused by the aging of population.

The government will reflect the measures in its draft budget for fiscal 2023, which starts in April, and submit bills to revise relevant legislation to next year's regular session of the Diet, Japan's parliament, slated to start in January.

Through the hike, the ministry aims to help reduce child-rearing families' financial burdens as costs of giving birth have been rising in recent years. In order to secure financial resources, the ministry plans to introduce in fiscal 2024 a system to have people aged 75 or over shoulder 7 pct of the costs.

Also in the draft package approved by the subgroup of the Social Security Council, which advises the health minister, is a plan to raise the upper limit on annual health insurance premium payments by people aged 75 or over earning about 10 million yen a year to 800,000 yen from 660,000 yen over two years from fiscal 2024.

[Copyright The Jiji Press, Ltd.]