Greece rolls out childbirth allowance to combat demographic crisis

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By Pauline Anne Brady

The Greek government has rolled out a new Childbirth Allowance for children born in Greece on or after January 1, 2020.

The government believes that this tax free allowance will help combat the country’s demographic crisis, working as an incentive to encourage families to have more children.

The falling birth rate is regarded as a major problem by international organisations and leading economists. They believe it to be threatening economic recovery.

Childbirth figures have dropped drastically in recent years, especially since the onset of the ongoing financial crisis.

In 2008 there were 118,302 live births in Greece, with 2019 only recording 96,460 births.

The growing decline of Greece’s population has resulted in the closing down of schools and kindergartens all over the country.

The Childbirth Allowance of 2000 euros (per child) will be paid in two instalments of 1000 euros, the first being paid at the end of the month after the application is lodged, and the second 6 months after the date of the child’s birth.

The allowance is subject to both financial and residential criteria:

– The applicant must reside in Greece

– Must be either a Greek citizen, a foreign national of Greek descent, a citizen of an E.U. Member state, a citizen of the European Economic Area or of the Swiss Confederation, or a third national who has resided in Greece for 12 years prior to the year of the birth of the child.

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