Kim Yong-beom, Vice Minister, "2Q Will Determine Overall Growth This Year... Implementing Previously Announced Measures to the Maximum"

Disaster Relief Funds Distributed to 99.9% of Low-Income Households... Total of 18.3 Million Households, 84.3% Executed

Kim Yong-beom, First Vice Minister of Strategy and Finance, is delivering opening remarks at the "11th Innovation Growth Strategy Review Meeting and Policy Review Meeting" held at the Government Seoul Office Building on the 22nd.

[Asia Economy Reporter Kwangho Lee] Kim Yong-beom, First Vice Minister of the Ministry of Economy and Finance, said on the 22nd, "The second quarter of this year will determine the overall growth for the year," adding, "We will execute the previously announced measures, including the first and second supplementary budgets (supplementary budgets), as much as possible during the second quarter, when the shock is concentrated."

On the same day, Vice Minister Kim held the "11th Innovation Growth Strategy Review Meeting and Policy Review Meeting" at the Government Seoul Office and stated, "Although the seawater has risen to the brink, this is the moment when the water begins to recede, marking the start of the ebb tide. Despite the crisis caused by the novel coronavirus infection (COVID-19), we will focus on finding a breakthrough for recovery."

Vice Minister Kim mentioned, "Amid various forecasts, discussions on the post-COVID era are gradually emerging," and added, "One of the emphasized alternatives to secure fiscal capacity needed during crisis response and to reduce the fiscal burden on future generations is the use of social solidarity." He also noted, "There is a view that potential polarization arising during the shock absorption process should be considered in advance," emphasizing, "During the two world wars, inequality actually decreased, and from a long-term perspective, crises can be opportunities to resolve polarization."

At the meeting, three agenda items were discussed: ▲ Status and review of emergency disaster relief fund support ▲ Current status and plans for single-person household policies ▲ Policy responses and publicity efforts for major sectors affected by COVID-19.

Regarding the status of emergency disaster relief fund support, Vice Minister Kim explained, "Since the start on the 4th until the 20th, out of a total of 21.71 million households, 18.3 million households (84.3%) have applied for 11.5 trillion won, and payments or donations are being made." He continued, "For the 2.86 million households (1.3 trillion won) eligible for cash payments, such as low-income groups requiring urgent support, 99.9% of payments have been completed," adding, "Going forward, to ensure the successful execution of the emergency disaster relief fund, the central government, local governments, and financial institutions will unite their capabilities and manage the execution thoroughly."

Regarding single-person household policies, he said, "Our household structure has changed rapidly at a pace not seen in advanced countries," and added, "We will actively seek ways to absorb these changes as new growth engines."

Additionally, concerning the establishment of a special purpose vehicle (SPV) for purchasing corporate bonds and commercial papers (CP), including those with low credit ratings, confirmed at the 4th Central Emergency Economic Countermeasures Headquarters (Emergency Economic Headquarters) on the 20th, he expressed, "We will thoroughly prepare in advance, including identifying demand by company, to ensure support can begin in June."

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