China Announces Nationwide Free Preschool Education Policy Starting 2025

Strategic Insights -

The State Council of China has outlined a gradual implementation plan for nationwide free preschool education, with the childcare and education fees of children in public kindergartens one year before preschool to be exempted from the fall semester of 2025. This policy will benefit approximately 12 million children and is expected to increase national government spending by around 20 billion yuan. The government will subsidize any reduction in kindergarten income resulting from the fee exemption, with the relevant funds shared by central and local governments.

Key Takeaways:

  • The policy will exempt childcare and education fees for children in public kindergartens one year before preschool starting from the fall semester of 2025.
  • Private kindergartens approved by the education department will also see a reduction in fees, referring to the exemption level of local public kindergartens of the same type.
  • The government will provide financial subsidies for the fee-free policy, with the central government bearing 80%, 60%, and 50% of the burden for the western, central, and eastern regions, respectively.
  • Local governments are required to complete relevant preparatory work by the end of August, ensuring that children in senior kindergartens can benefit from the policy when the fall semester begins.
  • The Ministry of Education and the Ministry of Finance will conduct dynamic monitoring of local implementation, track and evaluate implementation effectiveness, and provide guidance to local governments.
  • Funding for childcare and education fee exemption subsidies will be disbursed in the near future, with the central government's share fully allocated.

Statistics:

  • Approximately 12 million children will benefit from the policy.
  • National government spending is expected to increase by around 20 billion yuan.
  • The government will subsidize any reduction in kindergarten income resulting from the fee exemption, with the relevant funds shared by central and local governments.
  • The central government will bear 80%, 60%, and 50% of the burden for the western, central, and eastern regions, respectively.
  • The policy is expected to reduce household spending by around 20 billion yuan.

Sources:

  • The State Council of the People's Republic of China, August 7th, 2025
  • The General Office of the State Council, "Opinions on Gradually Implementing Free Preschool Education"
  • The Ministry of Education, specific implementation plans as soon as possible
  • The Ministry of Finance, fully allocated the central government's share of childcare and education fee exemption subsidies