[Summary] "Populist Support to Appease Public Opinion" 20,000 Won Communication Fee Payment, Fierce Criticism from Opposition Parties
President Moon: "4th Supplementary Budget of 7.8 Trillion Won... Tailored Support for Damage"
President Moon Jae-in is presiding over the 8th Emergency Economic Meeting at the Blue House on the morning of the 10th. Photo by Yonhap News
View original image[Asia Economy Reporter Kim Ga-yeon] The opposition parties have criticized the ruling Democratic Party and the government’s decision to provide a uniform 20,000 KRW communication subsidy to all citizens aged 13 and above through the 4th supplementary budget as "populism," arguing that it does not align with the nature of disaster relief funds tailored to those affected.
The People Power Party (PPP) has launched sharp criticisms regarding concerns over fiscal stability and the content of the support. Kim Jong-in, the PPP Emergency Committee Chairman, expressed a negative stance at a luncheon at the National Assembly Sarangjae on the 10th, saying, "It is sudden. There are many concerns about the government's fiscal stability."
Joo Ho-young, the floor leader, also criticized at the Emergency Committee meeting at the National Assembly on the same day, stating, "Full free influenza vaccinations are much more necessary and urgent," and added, "I worry that the populism of Moon Jae-in is being replaced by the populism of Lee Nak-yeon."
Spokesperson Kim Eun-hye, in a verbal commentary, said, "Since the president mentioned prioritizing support for those on the brink of survival, what criteria and principles is the government using to approach the suffering of the people?" She continued, "Are they willing to incur 7 trillion KRW in national debt for an unclear-effect 20,000 KRW communication subsidy for all citizens? We request deep reflection on the perception and approach toward citizens in critical situations."
Secretary-General Kim Seon-dong also raised his voice at the Emergency Committee meeting that day, saying, "On the 7th, Lee Nak-yeon, leader of the Democratic Party, said that those suffering more should be helped first, so I thought the ruling party accepted selective welfare, but just two days later, they changed their stance to universal distribution," and added, "What is the meaning of including communication subsidies in the 4th supplementary budget for COVID-19 measures? They should rather support electricity bills."
Secretary-General Kim pointed out, "Communication subsidies are not compensation for damages but a benevolent handout," and said, "Wouldn't it be wiser to use the funds for households that cannot go outside due to the COVID-19 crisis, working from home, and using air conditioners and computers?"
Lee Nak-yeon, leader of the Democratic Party of Korea, is speaking at an on-tact members' meeting held via video connection at the National Assembly on the afternoon of the 10th. Photo by Yonhap News
View original imageThe Justice Party also harshly criticized the communication subsidy plan as a "public opinion appeasement" measure.
Leader Shim Sang-jung said at the National Assembly Standing Committee meeting that day, "It is an absurd plan inserted without context," and added, "Support for self-employed people, who should be prioritized, is too thin, and the communication subsidy to appease public opinion is too shallow."
She continued, "The budget is close to 1 trillion KRW, but this money does not circulate in the market; it goes straight to the telecommunications companies. The recipients are reluctant, and it is difficult to approve such a budget that has no effect on consumption stimulation or economic impact," and urged, "I worry that we might lose both the crab and the fish. I hope the supplementary budget will be increased now to decisively provide disaster relief payments to all citizens."
People Party leader Ahn Cheol-soo also strongly criticized, saying, "It is a calculation to buy the people's hearts for 20,000 KRW ahead of Chuseok."
In a post on his Facebook, Ahn said, "Are you really planning to throw a party for the regime by borrowing national debt?" and criticized, "They are hesitant to issue more deficit bonds but want to take credit, so they came up with this desperate measure. Even as national debt rapidly increases, they plan to spend nearly 1 trillion KRW, claiming it is to comfort the people, but in reality, it is to take credit."
Earlier that day, President Moon Jae-in announced that he would prepare a 7.8 trillion KRW 4th supplementary budget.
At the 8th Emergency Economic Meeting held at the Blue House, President Moon explained, "This supplementary budget is a disaster relief fund tailored to those most affected, focusing on the hardest-hit industries and occupations to provide as much support as possible."
Regarding the 20,000 KRW communication subsidy, he explained, "It is a small comfort and sincerity from the government to all citizens who find it difficult to have free face-to-face contact and economic activities due to COVID-19."
He added, "We know the supplementary budget support is insufficient," and said, "Since we do not know when COVID-19 will end and must issue government bonds to provide support, this is an inevitable choice to maximize effectiveness with limited resources," asking for the public’s understanding.
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He also urged each ministry, saying, "Rapid support is urgently needed for those facing threats to their survival," and requested, "I ask the National Assembly for swift approval, and the government ministries should immediately begin preparations to ensure maximum support can be provided before Chuseok."
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