Japan Disburses Costs Needed To Boost Birth Rates

Photo by Ryoji Iwata on Unsplash

JAKARTA - Japan's Minister of Child Affairs, Ayuko Kato, revealed the cost plan that will be added to the public health insurance premium to help secure funds to fight the low birth rate.

"Participants of the general health insurance program kokumin kenko hoken" for entrepreneurs and others are expected to pay 800 yen (Rp84 thousand) a month if they have an annual income of 6 million yen (Rp629 million) in the fiscal year 2028," said Ayuko Kato as reported by JIJI, Friday, April 12.

Meanwhile, the monthly cost expected for people with an annual income of 4 million yen (IDR 419 million) is 550 yen (IDR 58 thousand) and people who have an annual income of 8 million yen (IDR 839 million) is 1,100 yen (IDR 115 thousand).

There will be assistance for low-income households, where participants with an annual revenue of 2 million yen (IDR 209.7 million) will be charged 250 yen (IDR 26 thousand) per month, "he said.

However, Kato insists that the estimated insurance premium fee is only a reference. He also emphasized that many participants of the program received annual income of less than 4 million yen.

As for Tuesday (9/4), the government released similar estimates regarding costs based on annual income for company workers. For example, an employee with an annual income of 6 million yen is expected to pay 1,000 yen (IDR 105 thousand) every month.

Japan will start collecting insurance costs against low birth rates in fiscal year 2026 from kokumin kunko hoken' participants and other public health insurance programs. Through the addition of insurance costs, there is an increase in total funds of 1 trillion yen (Rp 104.9 trillion) every year.

The Japanese government plans to get funds of 3.6 trillion yen (Rp. 377.3 trillion) annually in the fiscal year 2028 as a measure to overcome the low birth rate. Of this amount, 1 trillion yen will come from the insurance fee.