"Mid-7 Trillion Won" 4th Supplementary Budget... "Fully Funded by National Bonds, Targeting COVID-19 Affected Groups" (Comprehensive)

Confirmed at High-Level Party-Government Meeting... "Supplementary Budget Proposal to be Submitted This Week, Passed by National Assembly Before Chuseok"
"Quarantine is the Top Priority" Consensus... "Please Refrain from Traveling During Chuseok"

Prime Minister Chung Sye-kyun is conversing with participants at the High-level Party-Government Council held on the 6th at the Prime Minister's Official Residence in Jongno-gu, Seoul. From the right: Kim Sang-jo, Chief of the Presidential Office Policy Office; Lee Nak-yeon, Leader of the Democratic Party of Korea; Prime Minister Chung; Kim Tae-nyeon, Floor Leader; Han Jeong-ae, Chair of the Policy Committee; Hong Nam-ki, Deputy Prime Minister and Minister of Economy and Finance. Photo by Moon Ho-nam munonam@

[Asia Economy Reporters Kim Hyemin and Jeon Jinyoung] The Democratic Party of Korea, the government, and the Blue House have finalized a 7 trillion won-scale 4th supplementary budget (supplementary budget) to overcome the crisis caused by the novel coronavirus infection (COVID-19). Considering that the entire amount will be issued as government bonds, tailored support will be focused on COVID-19 affected groups such as small business owners and low-income households. The government plans to submit the supplementary budget containing these details to the National Assembly within this week.

On the 6th, the ruling party, government, and Blue House held a high-level party-government-Blue House meeting at the Prime Minister's official residence in Jongno-gu, Seoul, and made this decision, Democratic Party senior spokesperson Choi In-ho announced at a National Assembly briefing. The meeting was attended by key party-government-Blue House officials including Prime Minister Chung Sye-kyun, Deputy Prime Minister and Minister of Economy and Finance Hong Nam-ki, Democratic Party leader Lee Nak-yeon, floor leader Kim Tae-nyeon, and Blue House Policy Chief Kim Sang-jo.

At the meeting, the party-government-Blue House agreed to prepare policy tasks that can provide tailored support to groups heavily affected by COVID-19, and at the same time, to promote the 4th supplementary budget to back this up. Senior spokesperson Choi said, "Taking into comprehensive consideration sufficient support for affected groups and the fact that the entire amount must be issued as government bonds, the supplementary budget will be organized at a scale of mid-7 trillion won."

The 4th supplementary budget is composed of a so-called 'tailored emergency disaster support package.' This is differentiated from the 1st disaster relief fund that was paid to all citizens nationwide. However, the party-government-Blue House explained that it is 'tailored' support targeting vulnerable groups affected by COVID-19, not a 'selective payment' method based on income brackets.

The 4th supplementary budget includes ▲the 2nd emergency employment stabilization fund for vulnerable employment groups such as workers in special employment types (special employment workers), ▲the New Hope Fund for small business owners experiencing sales decline, ▲emergency living expenses for low-income households not benefiting from existing government support programs, ▲special childcare for children, and ▲communication fee support to back non-face-to-face activities.

[Image source=Yonhap News]

Regarding support for small business owners, it was decided to include general small business owners, self-employed individuals, and 12 industries affected by administrative orders to prohibit gatherings. Communication fee support targets groups burdened by communication costs due to COVID-19. A separate budget will also be allocated for youth job-seeking related support. Regarding childcare, Senior Spokesperson Choi explained that there will be additional discussions in the National Assembly concerning the target and payment method.

Senior Spokesperson Choi said, "The party especially urged stronger promotion of tailored support for small business management stabilization, childcare, youth job-seeking activities, and communication cost burdens, and these were largely reflected," adding, "(As a result) the number and scale of citizens receiving support have significantly increased."

Along with this, the party-government-Blue House also decided to promote livelihood stabilization measures around the Chuseok holiday. These measures include minimizing movement, managing prices of daily necessities to ease the burden on ordinary citizens, and supporting traditional markets and small and medium-sized enterprises.

Senior Spokesperson Choi said, "The government has decided to speed up so that livelihood stabilization measures can be announced and the supplementary budget can be submitted to the National Assembly within this week," and "The Democratic Party will actively support the passage of the bill in the National Assembly before Chuseok."

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