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Andhra Pradesh To Give ₹25,000 For Second, Third Child As Naidu Pushes Population Boost

The Andhra Pradesh government has proposed cash incentives and welfare benefits to encourage families to have more children amid declining fertility rate

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The government of Andhra Pradesh, led by Chief Minister N. Chandrababu Naidu, has proposed a new “Population Management Policy” aimed at encouraging higher birth rates amid declining fertility levels in the state. The draft policy offers ₹25,000 to couples who have a second or third child and proposes additional benefits such as free education and nutritional support for the third child.

The move comes as the state’s Total Fertility Rate (TFR) has dropped to around 1.5, well below the replacement level of 2.1. Officials say the policy is intended to address concerns about an ageing population, future labour shortages and possible impacts on political representation. The government is also considering revising earlier rules that barred individuals with more than two children from contesting local body elections, signalling a shift from population control to population support.

₹25,000 Incentive And Additional Benefits Proposed

Presenting the proposal in the state legislature, N. Chandrababu Naidu described the policy as a proactive step to prepare for future demographic challenges. Under the proposed plan, couples will receive ₹25,000 at the time of delivery for having a second or third child. The government has also suggested providing monthly nutritional assistance of ₹1,000 for the third child for up to five years. In addition, the state is considering offering free education for the third child in government or residential schools until the age of 18.

Officials indicated that the broader framework could include several supportive measures for families. These may include subsidised in-vitro fertilisation (IVF) treatment, expanded maternity and paternity leave benefits, and improved childcare facilities to help working parents balance employment and family responsibilities. Authorities have said the draft policy is still under discussion and may be implemented after consultations and feedback from stakeholders.

Declining Fertility Driving Policy Shift

The proposed initiative comes against the backdrop of shifting demographic patterns in Andhra Pradesh. Government data suggests that a growing proportion of families now prefer to have only one child, reflecting changing economic priorities, urbanisation and rising living costs. With the state’s fertility rate estimated at about 1.5, well below the replacement level needed to maintain population stability, policymakers fear long-term consequences for the workforce and economic growth.

Speaking about the issue, N. Chandrababu Naidu noted that several developed economies have faced serious demographic challenges due to declining birth rates and ageing populations. Countries such as Japan and South Korea have experienced labour shortages and increasing pressure on social welfare systems as their populations grow older. The Andhra Pradesh government believes early intervention could help avoid similar issues in the future.

The policy also marks a reversal of earlier population-control measures. In previous decades, many states, including Andhra Pradesh, implemented the “two-child norm”, which disqualified individuals with more than two children from contesting local body elections. The current administration has indicated that such restrictions may be revised to align with the state’s new demographic strategy.

The Logical Indian’s Perspective

Population trends are evolving across India, particularly in southern states where fertility rates have declined significantly over the past two decades. While financial incentives may encourage some families to consider having more children, demographic policy requires a careful balance between long-term economic planning and individual choice.

Encouraging childbirth must go hand in hand with strengthening healthcare, education, childcare infrastructure and social security systems that support families. Policies should ensure that women and families have the freedom, resources and support needed to raise children with dignity and opportunity, rather than feeling pressured by demographic targets.

Also Read: PM Modi Launches Free HPV Vaccination for 1.15 Crore Girls to Prevent 80,000 Annual Cervical Cancer Deaths

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