Deputy Prime Minister Vu Duc Dam announced the change in a nationally televised address, saying, “Vietnam must move boldly to ensure our population is both sustainable and competitive.”
The move comes amid fears that Vietnam could soon follow in the footsteps of countries like Japan and South Korea, where aging populations threaten long-term economic stability.
Experts say the policy change could trigger a modest rise in birth rates, but warn that deep cultural and economic factors including rising child-rearing costs may still discourage large families. The government is also exploring cash incentives, tax breaks, and housing subsidies for parents willing to have more than two children.
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