"Focused Support for COVID-19 Affected Groups"…Incheon City Provides Disaster Livelihood Expenses to Crisis Households

5 Trillion Won Invested in COVID-19 Economic Support
200,000 to 500,000 Won for 300,000 Households Below 100% Median Income
50% Reduction in Water and Sewage Fees for Small Businesses for 4 Months
300,000 Won Support for Businesses Under 'Social Distancing' Administrative Order

Incheon Mayor Park Nam-chun is explaining the supplementary budget allocation for 'COVID-19 response' on the 26th.
[Photo by Incheon City]

[Asia Economy Reporter Park Hyesook] Incheon City will provide 'Emergency Disaster Livelihood Expenses' to vulnerable groups facing difficulties in making a living due to the novel coronavirus disease (COVID-19) crisis.

Instead of providing a fixed amount to all residents like Gyeonggi Province's 'Disaster Basic Income,' the city has chosen a selective welfare approach that strengthens support for vulnerable groups.

On the 26th, the city announced that it will provide emergency disaster livelihood expenses totaling 122 billion KRW, including 102 billion KRW for households with median income below 100%, 15 billion KRW for special employment workers, and 5 billion KRW for unpaid leave workers.

The emergency livelihood expenses will be paid to 300,000 households with median income below 100%, ranging from 200,000 to 500,000 KRW per household, in the form of local currency 'Incheon e-eum' or Onnuri gift certificates. Single-person households will receive 200,000 KRW, two-person households 300,000 KRW, three-person households 400,000 KRW, and households with four or more members will receive 500,000 KRW.

Special employment livelihood expenses will be provided to workers who have temporarily lost their jobs due to the COVID-19 crisis, such as after-school instructors, tutors, cultural center instructors, community center instructors, sports instructors, tour guides, interpreters, child caregivers, caregivers, insurance planners, substitute drivers, and golf caddies. The support amount ranges from 200,000 to 500,000 KRW, calculated based on the number of days without labor provided.

Workers on unpaid leave due to the COVID-19 crisis will also receive livelihood expenses ranging from 200,000 to 500,000 KRW.

Applications for emergency disaster livelihood expenses will be accepted from early April through the Incheon City website and local town, township, and neighborhood community service centers. The city will verify supporting documents such as health insurance payment certificates, confirm eligible recipients, and promptly disburse funds within 10 days from the application date.

The budget for emergency disaster livelihood expenses will be covered by 10 billion KRW from the national government, 61 billion KRW from the city, and 51 billion KRW from district and county governments.

Although there were internal opinions in Incheon City to provide disaster basic income, it was judged that focused support for vulnerable groups struggling to make a living during the disaster situation is more necessary.

This approach is similar to Seoul City's 'selective welfare' method rather than Gyeonggi Province's. Previously, Gyeonggi Province decided to provide 100,000 KRW per person to all 13.26 million residents as disaster basic income, while Seoul City will provide 300,000 to 500,000 KRW in emergency disaster living expenses to 1.17 million households with median income below 100%.

Incheon City will also implement economic support measures for COVID-19, including a 50% reduction in water and sewage fees for 78,000 small business operators for four months, and 300,000 KRW support for 20,000 businesses subject to social distancing administrative orders such as PC rooms, karaoke rooms, academies, and indoor sports facilities.

The city will reduce rent by 35-50% for six months for facilities owned by the city and public corporations/public institutions, and provide local tax reductions or defer collection for landlords who have suffered direct or indirect damage due to closures caused by confirmed COVID-19 cases or who have reduced rent.

Additionally, the city will expand the beneficiaries of the Talent Development Foundation scholarship program, mainly targeting low-income groups, providing a total of 3 billion KRW in special COVID-19 scholarships to 1,000 middle and high school students and 1,500 university students.

Including the emergency disaster livelihood expenses support, Incheon City has prepared the first supplementary budget totaling 11.6175 trillion KRW, an increase of 355.8 billion KRW (3.16%) over the original budget, which will be submitted to the city council on the 27th.

The city explained that when combined with 86 billion KRW from disaster-related funds and 51 billion KRW from district and county contributions, a total of 508.6 billion KRW in finances will be invested in economic measures to overcome COVID-19.

Mayor Park Namchun stated, "The supplementary budget and economic support measures are based on the policy direction of 'selection and concentration,' focusing on maximizing protection for economically vulnerable groups, especially those severely affected by COVID-19," and added, "Incheon City will do its best to ensure that citizens' daily lives do not collapse and that the local economy recovers quickly."

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