Gyeonggi-do, Unregistered Businesses Will Not Accept Local Currency Starting Next Month

[Asia Economy (Suwon) = Reporter Lee Young-gyu] Starting from the 5th of next month, Gyeonggi local currency merchants who fail to register or apply for affiliation will face restrictions on local currency payments.

This measure is in accordance with the "Act on the Promotion of Local Love Gift Certificates," which came into effect on July 2nd to prevent fraudulent distribution of local currency.

The law stipulates that to operate as a local currency merchant, registration with the relevant local government is mandatory. Failure to register while conducting merchant operations may result in a fine of up to 20 million KRW.

Until now, for card-type local currency, payment was possible without a separate merchant application process by using card terminals according to city/county ordinances. However, with the enforcement of the Local Love Gift Certificate Act, registration as a local currency merchant is now compulsory.

The registration target includes Gyeonggi local currency merchants within the province, excluding department stores, large marts, complex shopping malls, entertainment and gambling establishments, and large-scale sales businesses.

Existing local currency merchants who complete their application by the 4th of next month will be registered from the day after the application date. Newly opened merchants after the 5th of next month will complete registration within 7 days after application through administrative procedures of each city/county.

However, if existing merchants fail to register within the deadline, local currency payments may be restricted from the 5th of next month even if they possess card terminals.

The province will promote multi-faceted publicity through cooperation with each city/county, using social networking services (SNS), websites, text messages, and small business-related organizations to ensure smooth merchant registration.

In particular, to prevent the spread of COVID-19 and to facilitate more convenient merchant registration and application, an online portal (with.konacard.co.kr) was opened, and applications have been accepted since the 15th of this month.

Offline counters will be operated considering the circumstances of each city/county.

Jo Jang-seok, head of the Small Business Division of the province, stated, "With the enforcement of this law, fraudulent distribution of local currency will be prevented, and efficient merchant management will be possible. We will focus on implementing a fair local currency policy to overcome the economic hardships caused by COVID-19."

Gyeonggi local currency is a type of alternative currency introduced by Gyeonggi Province during the 7th local government administration in cooperation with cities and counties since April last year, aiming to increase sales of traditional markets and small businesses and revitalize the local economy. It can only be used within the issuing city/county, contributing to creating a practical economic virtuous cycle.

For inquiries regarding merchant registration applications, please contact by phone (1600-0836) or the local currency department of each city/county.

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