Shanghai makes maternal care free to encourage higher birth rates

Shanghai has introduced a policy eliminating out-of-pocket costs for maternal care, from prenatal checkups to postpartum recovery. The city's fertility rate was 0.66 last year, far below the replacement level of 2.1. The move goes beyond a central government pledge to make hospital delivery free nationwide.
Starting in October, insured women in Shanghai will receive a 4,500 yuan allowance for maternal care, with any excess bills covered by maternity insurance. The policy fully reimburses prenatal check-ups, hospital delivery, and postpartum recovery within 42 days.
This local initiative surpasses the central government's pledge to make basic hospital delivery free nationwide by year-end, a commitment not yet fully implemented. The move targets Shanghai's fertility rate of 0.66, drastically below the 2.1 replacement level, amid severe population ageing.
The policy directly affects women of childbearing age in Shanghai, potentially easing financial burdens that deter childbirth. However, its societal impact may be gradual, as experts suggest financial incentives alone rarely reverse deeply entrenched low fertility trends. While it could set a precedent for other municipalities, the measure may only marginally influence birth rates unless paired with broader support for childcare, housing, and work-life balance. The long-term demographic trajectory remains uncertain.