Singapore turns to AI and immigration as fertility plummets to 0.87

Singapore’s Prime Minister Lawrence Wong acknowledged the limits of financial incentives to reverse falling birth rates, emphasizing a new focus on making life better for families rather than just procreation bonuses. Speaking at a Singapore Press Club dialogue, Wong said the government will rely more on AI and immigration to sustain the population, as the resident total fertility rate fell to a record low of 0.87 in 2025. This comes despite nearly S$7 billion (US$5.4 billion) in marriage and parenthood initiatives and a new ministerial task force addressing the "existential challenge." The city-state is also on track to become a super-aged society this year, with 20% of its population aged 65 and above, compounding concerns about workforce sustainability.

Singapore joins a global trend of declining fertility rates, with Japan, France, China, and Malaysia all seeing drops. However, South Korea—which long had the world's lowest birth rate—saw a second consecutive year of increase in 2025, offering some hope. Wong urged humility, noting that no country has yet found a solution. The shift to AI and immigration as complementary strategies highlights a broader recognition that traditional baby bonuses alone cannot reverse demographic decline. Singapore's approach may serve as a model for other wealthy nations facing similar challenges.