MADRID: Spanish Prime Minister Jose Luis Rodriguez Zapatero announced on Tuesday that families would receive 2,500 euros per new child in a bid to raise the ailing birth rate.

“Each family living legally in Spain will receive 2,500 euros from today for every new child born in our country,” he told parliament in the state of the nation address. “To continue to progress Spain needs more families with more children and families need support to have these children and resources to raise them,” he said.

In response to a question, the economy minister said the measure was still being studied, but would apply to children born from Tuesday.

A ministry spokesman said that for women working and facing income tax the aid would be given via a tax deduction, while for others it could come as a direct pay-out.—AFP