New Zealand's Unprecedented COVID-19 Response... '4% of GDP' Invested

[Asia Economy Reporter Naju-seok] New Zealand has announced an unprecedented support program to combat the spread of the novel coronavirus infection (COVID-19) and economic recession.

On the 17th, New Zealand unveiled a measure amounting to 12.1 billion New Zealand dollars (9.0981 trillion KRW), equivalent to 4% of its total Gross Domestic Product (GDP). The support measures include income compensation plans for those who must enter self-quarantine regardless of COVID-19 infection status but cannot work from home, as well as for those who cannot work because they need to care for family members infected with COVID-19.

Grant Robertson, New Zealand's Minister of Finance, explained, "This measure is the largest in the world on a per capita basis." New Zealand's population is 4.82 million.

New Zealand's support program includes strengthening health-related measures concerning COVID-19, support for low-income groups, and tax burden relief for businesses.

[Image source=AP Yonhap News]

Although New Zealand currently has only 11 confirmed COVID-19 cases, it has implemented strong travel restrictions and requires all travelers arriving from overseas to undergo self-quarantine. This measure was taken despite the severe blow to the travel industry, a major source of income.

Full-time workers who have entered self-quarantine or cannot work due to caring for family members will receive 585 New Zealand dollars. Part-time workers will receive 350 New Zealand dollars. The tax burden on businesses will also be reduced by approximately 2.8 billion New Zealand dollars.

Additionally, the support budget includes 500 million New Zealand dollars allocated for health-related expenses. This covers budgets for COVID-19 epidemiological investigations and strengthening hospital intensive care units.

New Zealand Prime Minister Jacinda Ardern previously stated, "New Zealand will not be different from other countries," and added, "The impact of this situation will be significant."

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