To promote birth rates in Latvia, it may be a good idea to increase the childcare benefits, according to one of the suggested measures presented by Demographic Affairs Centre’s manager Imants Parādnieks (NA).
According to him, the demographic situation in Latvia is affected by economic growth, comfortable living conditions, positive pregnancy experience, child-raising experience and service availability, solutions to crises and national responsibility.
The demographic situation also depends on having an organised and safe living space, health, the concept of family as a value, family-friendly society, career growth, and higher education.
According to available statistical data, the average age of young mothers has been increasing in Latvia since 1994.
The average age of mothers in Latvia is 30.2, with the first child being delivered at the age of 27.8 years, according to Parādnieks.
The total fertility rate in Latvia is equal to the level observed in 2021 – 1.57. However, if active measures are taken, this rate may increase to 2.00 by the year 2035.
Parādnieks reports the main focus points of the proposed strategy are based on raising the quality of life and availability of services for families with children.
One such measure includes promoting family values. This means balancing the pension system for parents, for example. This means that while parents are away on childcare leave, the state is to pay social contributions to the pension capital regardless. Pension capital increase will depend on the number of children parents have. For single parents (mainly mothers), early retirement option will come one year sooner for every child in the family, starting with two.
Development of the child, raising and care are all equally important as well. This is where adoption of family pre-school reform comes into play, as it provides support from municipal administrations to provide parents the freedom of choice.
As children reach the age of one to three years, parents will be able to pick: look after children personally, hire a nanny, or send children to local or private kindergartens. Once their children reach the age of three to seven years, their parents will be able to pick between municipal or private kindergarten services.
Co-financing would be provided to private kindergartens, but only as long as it does not exceed the average cost of such services in the country. The amount may reach EUR 400 for the 1.5 to four years age group.
Activities to help improve quality of life for families with children provide for the improvement of the parent benefit system, tax reliefs for families with children, state housing availability programme, as well as benefits for certain groups – Latvian honorary families, 4 and 5+ child programme, as well as young parents, single-parent families and families with special needs children.
In regards to the housing availability programme, Parādnieks mentioned that young families may be provided with modern and energy effective dwellings in regions, for example.
He hopes the Ministry of Economics will assist with this.
Parādnieks also proposes increasing the childcare benefit to help promote birthrates. The current childcare benefit amount for a child 1.5 years of age is EUR 171. However, Parādnieks believes it should be increased to EUR 427.
He also believes it is necessary to lose some of the studies and student loan burden and have it slashed by half after the birth of the first child and removed completely after the birth of the second child.
At the same time Parādnieks invites the government to declare 2023 the year of families and provide a range of activities, such as free registration of marriages, joint public events with the support of local governments and others.
According to him, the proposed strategy is one of four parts of the Children, Youth and Family Guidelines for 2021-2027.
Demographer Ilmārs Mežs adds measures to promote birthrates are necessary to make sure parents «aren’t punished for having children». With that, he believes it is the duty of the state to ensure every family in Latvia is able to have as many children as they wish without any material obstacles.