By Liz Lee

BEIJING (Reuters) – China outlined steps on Monday to improve family planning and parenting measures in an effort to boost the number of births, according to a statement from the state council, or cabinet, after two consecutive years of a shrinking population.

The birth rate hit a record low last year in China, which has a population of 1.4 billion, as fellow Asian giant India outpaced it to become the world's most populous nation.

The state council called for efforts to build "a new marriage and childbearing culture" by promoting respect for childbearing, encouraging marriages at the right age, and advocating for parents' shared responsibility for childcare.

Measures proposed include better maternity insurance, maternity leave, subsidies, and medical resources for children, with the cabinet urging local governments to budget for childcare centres and to provide preferential taxes and fees for such services.

"Supporting childbirth at this stage is of great significance," said Yang Chang, chief policy analyst at Zhongtai Securities Research Institute, adding that Monday's announcement would serve as a template for future measures.

With the number of women of childbearing age (15 to 49) likely declining, and willingness to bear children not expected to rise soon, policy support was deemed crucial to reverse the downward trend in births.

Despite having abandoned its 35-year-old one-child policy in 2015, China has struggled to increase the birth rate, especially with rural populations moving to urban centers for work.

Education is another key area targeted, with local authorities instructed to increase financial aid for students from disadvantaged families and to gradually expand the scope of free education.

Local authorities were also directed to alleviate housing and employment burdens by providing additional support for families with multiple children to acquire homes, and to enhance protections for pregnant women and new mothers in the workforce.

Additionally, setting up non-commercial platforms for young people to meet, date, and marry was highlighted as a measure to encourage births, according to the cabinet.

These measures follow a survey conducted this month by health officials aiming to understand the factors influencing attitudes towards childbearing and the fears surrounding having children.