China’s population has declined for the third consecutive year, despite a slight increase in the birth rate. According to data released by the Xi Jinping government, deaths outnumbered births in 2024, leading to a population decrease of 1.39 million, bringing the total to 1.404 billion.
China’s declining population is affecting the economy. Hospitals are closing their maternity units. Companies selling baby formula are shutting down their factories and thousands of schools and kindergartens have been closed. More than 1.70 lakh preschool teachers have lost their jobs in 2024. Apart from the population, the country’s economic data also came out. It was told that the country grew by 5% annually last year.
China’s Ageing Population; A Matter of Concern
According to report, over the next decade, about 300 million people, who are currently aged 50 to 60, are set to leave the Chinese workforce. This is the country’s largest age group, nearly equivalent to the size of the US population. With a depleting pension fund and insufficient resources, the country struggles to address the growing needs of its rapidly aging population.
Japan’s Declining Population for 15 Years
Meanwhile, Japan has been witnessing a population decline for 15 years. South Korea has experienced a drop in population growth since 2021. Italy, for the first time since the 19th century, recorded fewer than 400,000 births.
According to the United Nations, 63 countries and territories have reached their population peak, and over the next 30 years, 48 more countries are expected to experience the same.
Concerns for Policymakers
Slower population growth is a major concern for policymakers as it poses challenges to economic development. China’s declining population is particularly worrisome for the government, which is grappling with the economic implications of a rapidly aging population.
China’s fertility rate stands at around 1, far below the 2.1 required for population growth, highlighting a critical demographic challenge for the country.
