Will Lee Jae-myung's 'Disaster Basic Income' Be Introduced?

[Asia Economy (Suwon) = Reporter Lee Young-gyu] Gyeonggi Province is pushing to introduce a 'disaster basic income' as a national support measure against the 'novel coronavirus infection' (COVID-19).

Lee Jae-myung, Governor of Gyeonggi Province, recently publicly proposed the policy implementation to the central political circles, and the Gyeonggi Provincial Council has begun preparing an ordinance.

The response from the government and other local governments has also been positive. Kim Sang-jo, Chief of the Presidential Policy Office, appeared on a broadcast on the 5th and said, "This supplementary budget includes the concept of a so-called Korean-style basic income system," emphasizing basic income.

Kim Kyung-soo, Governor of Gyeongsangnam-do, proposed to the government and the National Assembly on the 8th during a briefing, "To revitalize the economy stagnated by COVID-19, let's provide all citizens with a disaster basic income of 1 million won."

Governor Lee expressed full agreement with Governor Kim's proposal through Facebook.

Governor Lee particularly stated, "Considering the scale of our economic structure and the proportion of welfare expenditure (about half of the OECD level) resources, it can definitely be created," adding, "In the era of the Fourth Industrial Revolution where jobs are disappearing in large numbers, and an era where low growth becomes the norm due to excess investment funds rather than places to invest, the only policy that can revive economic flow and guarantee sustainable growth is 'basic income.'"

At a press conference on the 6th, Governor Lee also emphasized, "Since it is impossible to specify industries affected by the COVID-19 situation, support for specific groups is unfair," and "As an extraordinary measure, it is necessary to seriously consider large-scale disaster basic income in the form of local currency with a usage deadline so that residents' consumption can circulate in the local economy."

The disaster basic income mentioned by Governor Lee is a concept that combines the 'basic income' idea?where the state provides a certain amount of cash to all citizens regardless of assets or income?with temporary economic crises such as disasters.

He added, "(The current domestic situation) is like a pump with an empty pipe that needs priming water," and "Simple financial and tax support is like 'urinating on frozen feet,' so disaster basic income is absolutely necessary."

The Provincial Council views disaster basic income as contributing to residents' livelihood stability, guaranteeing social basic rights, and revitalizing the local economy, and is preparing the 'Gyeonggi Province Disaster Basic Income Payment Ordinance.'

While government-led measures are important, there is a judgment that it is necessary to prepare countermeasures for disaster basic income payments at the provincial level.

According to the main ordinance draft, the recipients of disaster basic income are residents registered in the province. Support priorities can be set considering the degree of damage and living difficulties, and the payment targets, timing, and amounts can be differentiated.

Also, disaster basic income is principally paid in 'local currency' to support small business owners and revitalize the local economy, but it is specified that in cases specially recognized by the governor, payment can be made in kind or services.

Nam Woon-seon, a member of the Gyeonggi Provincial Council's Women, Family, and Lifelong Education Committee and the representative proposer of the ordinance (Democratic Party, Goyang 1), said, "To help with the livelihood issues of all residents even a little, about 100 billion won in budget is expected to be needed for Gyeonggi Province's disaster basic income support," advising, "Currently, the Gyeonggi Province Disaster Management Fund has regulated usage, so we need to consider various resource measures."

The province has already been implementing a 'Youth Basic Income' since Governor Lee Jae-myung took office, providing 250,000 won quarterly, totaling 1 million won annually, in local currency to youths aged 24. Additionally, from the second half of this year, the province will be the first nationwide to promote the payment of 'Farmer Basic Income.' The province is preparing an ordinance for this purpose.

This content was produced with the assistance of AI translation services.