China has announced a major policy shift from the existing limit of two children to three children, after recent data showed a dramatic decline in births in the world’s most populous country. Under the new policy changes, each couple would be permitted to have up to three children.

Until 2016, China had a one-child policy imposed to halt a population explosion. Then the country scrapped its decades-old one-child policy with a two-child limit policy.

Following the recent census reports, experts have said that China's two-child limit policy had failed to result in a sustained surge in births as the high cost of raising children in Chinese cities deterred many couples from starting families.

China’s once-in-a-decade census showed that the population grew at its slowest rate during the last decade since the 1950s, with data showing a fertility rate of 1.3 children per woman for 2020 alone.