Andhra Pradesh announces Rs 30,000 and Rs 40,000 incentives for 3rd and 4th child to boost population

The government has framed the policy as an investment in human capital, with the cash transfers intended as immediate support for families.

In a drive to curb the declining population, Andhra Pradesh Chief Minister N. Chandrababu Naidu on Saturday announced financial incentives to couples having a third and fourth child, children as ‘the nation’s wealth, not a burden. Speaking at a public meeting in Narasannapeta, Srikakulam district, as part of the ‘SwarnaAndhra–SwachAndhra’ cleanliness programme, Naidu stated that population growth in the state is declining and urged a change in societal perspective.

"Population growth is declining. Children should be viewed as the nation’s wealth, not a burden. The government would provide Rs 30,000 for families on the birth of a third child and Rs 40,000 for the birth of a fourth child, as part of efforts to encourage population growth,” said Andhra Pradesh CM.

The announcement builds on an earlier proposal for a Rs 25,000 incentive for the birth of a second child. The government plans to announce further details of the scheme within a month.

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The declining population of Andhra Pradesh

Andhra Pradesh, like several other southern Indian states, has seen its Total Fertility Rate (TFR) drop significantly below the replacement level of 2.1. Naidu highlighted concerns about an aging population, warning that without intervention, a large percentage of the state’s residents could be elderly by 2047, potentially straining the workforce and economy in ways similar to challenges faced by countries like Japan and South Korea.

Naidu, who in the past supported population control measures, emphasised that the time has come for collective efforts to encourage higher birth rates. The incentives are part of a broader draft population policy that may include additional supports such as nutritional aid and enhanced parental leave.

The government has framed the policy as an investment in human capital, with the cash transfers intended as immediate support for families.

Though the state government has not made any official announcements regarding the implementation, criteria and other notifications, but with the population incentive remarks, Andhra Pradesh made a notable departure from India’s historical emphasis on family planning, reflecting regional shifts where southern states grapple with below-replacement fertility while aiming to maintain vibrant economies.