Why are countries paying people to leave cities and move to rural areas?

Around 56% of the world’s population – roughly 4.4 billion people – live in cities, according to the World Bank. And this is set to increase to 68% by 2050, the UN says.

But many governments are now trying to persuade people to turn their backs on city living and move to rural areas instead, to boost populations and economic growth in these areas. Here are some of the countries offering incentives to their citizens to make the switch.

Tokyo is the world’s most populated city, but Japan’s government is now offering families JPY 1 million ($7,600) per child to move out of the greater Tokyo area, to create “regional revitalization”.

Families must live in their new homes for at least five years in order to receive the payment, and one member of the household must either be working or planning to open a business.

The government says the trend towards home working is helping to spread economic opportunities throughout the country, and has led to a population boost in towns like Shirahama, which is an hour’s flight away from Tokyo.

The US state of Vermont is aiming to attract remote workers by offering a grant of up to $7,500.

The Worker Relocation Incentive Program was recently expanded so that people in all occupations are eligible. It is funded through a one-off $3 million allocation from the Vermont Legislature, and operates on a first-come, first-served basis.

“This program alone won’t solve our demographic challenges, but it is a piece of the puzzle as we continue our work to roll out additional housing and economic development programs,” says Vermont Agency of Commerce and Community Development Secretary, Lindsay Kurrle.

The Spanish government is using €10 billion from its EU post-COVID recovery funds to try and halt rural depopulation.

There have been significant population declines in areas covering almost half of Spain since 1950, with 23 highly rural provinces most severely affected. The population loss has exceeded 50% in some areas, Spanish think tank Funcas says.

The rural relocation scheme aims to increase the contribution these areas make towards Spanish GDP. These regions account for about 30% of the Spanish economy, while rural areas in France and Germany make up about 40% of national GDP.

Residents of the Swiss village of Albinen voted to get a scheme going that would pay people to move there.

New residents receive $27,000 for relocating to the Rhone Valley town, but they have to be under 45, agree to stay for 10 years, and invest at least $215,000 in real estate.

The rural community of Grossdietwil, meanwhile, is paying people aged under 30 to stay in the town.

Local governments in a number of areas including Piedmont in the north and Tuscany in central Italy are offering homes for €1 ($1.10) to encourage people to move to rural towns.

The scheme aims to revive abandoned town centres and redevelop buildings that have slipped into poor condition.

The shift to remote work offers “an unprecedented chance in Europe to save many rural areas,” Marcus Andersson, CEO of consultancy Future Place Leadership, told the BBC. “Many of them are on the brink of bankruptcy – they can’t survive as functioning places or functioning administrations – and this is a really great opportunity … because they are now attracting the very people they need to attract: those that have kids or are on the way of starting a family.”

Writing for the World Economic Forum, social scientist and science communicator Tatiana Reuil says that remote work can offer a borderless and inclusive future and help create a truly diverse and global workforce.