South Korea has set a new global benchmark for the lowest fertility rate, signaling significant challenges ahead as the nation grapples with the impact of its rapidly aging demographics. The dwindling number of births poses substantial implications for South Korea’s healthcare system, social welfare provisions, and economic vitality.
Key Statistics: Data released by South Korea’s National Statistics Office reveals a decline in the fertility rate, plummeting from 0.78 in 2022 to a mere 0.72 last year. Additionally, the number of newborns witnessed a sharp decrease of 7.7%, hitting a new low of 230,000, in a country with a population of approximately 50 million.
Policy Response: With South Korea being the sole member of the Organisation for Economic Co-Operation and Development (OECD) with a fertility rate below 1 since 2018, the government has prioritized efforts to reverse the declining birth rate. In December, authorities pledged to implement “extraordinary measures” to address the pressing issue.
Political Commitments: Against the backdrop of looming elections in April, major political parties in South Korea have vowed to introduce policies aimed at curbing population decline. Proposals include increasing public housing availability and facilitating access to loans, reflecting concerns about the prospect of “national extinction” amid crumbling fertility rates.
Marriage and Financial Strain: Marriage rates in South Korea are declining, with financial burdens cited as a primary deterrent to starting families. The societal perception that marriage is a prerequisite for parenthood further exacerbates the situation, contributing to the ongoing decline in birth rates.
Regional Trends: South Korea is not unique in facing challenges associated with an aging population. Neighboring countries like Japan and China are also contending with record-low fertility rates. In South Korea specifically, the capital city of Seoul reported the lowest fertility rate of 0.55 last year, underscoring the severity of the demographic crisis.
Future Projections: Forecasts indicate that South Korea’s fertility rate is likely to decline further, with projections suggesting a decrease to 0.68 by 2024. As the nation grapples with these demographic shifts, policymakers face mounting pressure to implement effective strategies to mitigate the long-term repercussions on society and the economy.
