"Controversy Over Government Emergency Disaster Relief Fund Usage, Some Adjustments Under Discussion (Comprehensive)"

[Asia Economy Reporter Jo In-kyung] The government acknowledged the controversy over the fairness of eligible industries for the use of emergency disaster relief funds amid the COVID-19 pandemic, stating, "We are aware of the controversial issues and are discussing adjustments."

On the 18th, the Ministry of the Interior and Safety held a press briefing at the Government Seoul Office to explain the progress and future plans for the distribution of the emergency disaster relief funds.

The emergency disaster relief funds cannot be used at large supermarkets, department stores, entertainment businesses, or online shopping malls. However, controversy arose as the funds could be used at luxury brand shops not affiliated with department stores, as well as at global corporate stores like Starbucks and IKEA.

Deputy Minister Yoon Jong-in of the Ministry of the Interior and Safety said, "We are aware of the fairness controversy regarding the places where the funds can be used," adding, "We are discussing the issue of including or excluding individual franchise stores from the eligible industries."

He further stated, "The government aims to achieve two goals through the distribution of emergency disaster relief funds: providing financial assistance to citizens struggling due to COVID-19 and stimulating consumption to revitalize the local economy. We will consider adjustments within the scope that can achieve both objectives simultaneously."

However, the government’s position is that it cannot make definitive statements because there are many related cases that need to be judged individually, and consultations with each credit card company are also necessary.

Deputy Minister Yoon explained, "There may be more similar cases beyond those currently revealed, and we must also consider public sentiment, the situation of each credit card company, and the stance of local governments, which are the actual payment agents. If the places where the funds can be used are too limited, it will be difficult to achieve the goal of boosting consumption."

They are also considering additional cash support for people with disabilities or the elderly who were not originally eligible for cash payments but find it practically impossible to use the disaster relief funds within the deadline due to mobility difficulties.

Deputy Minister Yoon said, "If absolutely necessary, the government and local governments managing these cases will look for ways to provide cash payments," adding, "For recipients with mobility difficulties, government officials will visit their homes for 'visiting applications,' and we will try to provide this opportunity as much as possible even without separate requests."

Considering the purpose of this emergency disaster relief fund, they decided to supplement the system through appeals so that households where the head of the household has difficulty applying, households undergoing divorce litigation, or those who moved to another region after March 29 can also use the funds, minimizing blind spots and ensuring benefits are distributed evenly.

For example, the government plans to improve the system so that citizens who received emergency disaster relief funds via credit or debit cards and moved to another metropolitan local government after March 29 can change their usage area once.

Deputy Minister Yoon said, "Regarding moves and such, I believe it is right to adjust so that citizens can use the funds conveniently," but added, "However, whether this is technically possible needs to be discussed with credit card companies."

Meanwhile, as a result of accepting credit and debit card recharge applications for the emergency disaster relief funds from the 11th to the 17th, a total of 14.401 million households nationwide applied for and received 7.6117 trillion won. Earlier, from the 4th, cash payments were made to households receiving basic livelihood security benefits, basic pensions, and disability pensions, with 1.3005 trillion won paid to 2.859 million households, representing 99.8% of the eligible recipients.

Accordingly, as of now, 14.26 million households, or 65.7% of the total 21.71 million eligible households, have received the emergency disaster relief funds, and 8.9122 trillion won, or 62.6% of the total budget of 14.2448 trillion won, has been disbursed.

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