Brazil is experimenting with a new method of stimulating population increase: the government is arranging lotteries that provide young families with free flats. Already, it has proved to be a huge success – among 20-25 year olds who have been assigned apartments in such lotteries, the number of children increased by 33% on average.
The program is called ‘Minha Casa, Minha Vida’ (My Home, My Life). It was launched in 2009 and re-launched in 2023 to provide housing at low cost to middle- and lower-income families. The figure of 2 million new homes is to be built until the year 2026, and a large majority of these are to be allocated to poor families.
For the poorest households, the government funds up to 95% of the housing, and the remainder is paid interest-free over several years. This way, young couples are able to have their own home without any significant financial responsibility. Studies show that access to housing through lotteries has a significant effect on decisions to have a child. This is particularly noticeable in young adults aged 20-25, where secure housing becomes an important factor in family planning. Among people over 40 years old, however, there is no such effect.
The program also facilitates poverty reduction and economic development. It is estimated that the utilization of ‘Minha Casa, Minha Vida’ will create more than one million jobs and improve living standards for more than millions of Brazilians. Additionally, the construction of housing near urban zones with highly developed infrastructure promotes social inclusion as well as improves the level of living.
