Kwon Chil-seung: "Loss Compensation Should Prioritize Selective Support... Proceed Quickly and Thoroughly"

Minister Kwon Chil-seung of the Ministry of SMEs and Startups. / Photo by Jinhyung Kang aymsdream@

[Asia Economy Reporter Kim Bo-kyung] Kwon Chil-seung, Minister of SMEs and Startups, emphasized the need to provide selective support to self-employed individuals and small business owners who have suffered significant losses due to COVID-19.

On the 16th, during a preliminary briefing on the 2021 Ministry of SMEs and Startups work report held at the Government Seoul Office, Minister Kwon expressed his stance on the loss compensation system.

He began by saying, "Loss compensation has a legal meaning, but it also seems to be used in a broader sense like a common noun meaning 'damage support'."

He added, "Including the legal meaning of loss compensation, it is appropriate to proceed in a way that provides swift and as substantial support as possible to small business owners and self-employed individuals who have been the focus of damage support on a larger scale."

When asked about his position on selective support versus universal support, he said, "First of all, selective support is the right approach," and added, "It is necessary to make efforts and carefully assess the situation to minimize blind spots."

Regarding measures to address blind spots, he explained, "Raising the sales limit to over 400 million won would be one way to resolve blind spots," and said, "If the supplementary budget is approved this month, we are actively considering raising this limit."

He also added, "I believe this will apply to those operating multiple businesses as well."

On support measures for loans to self-employed individuals, Minister Kwon stated, "We have also requested the Financial Services Commission to cooperate in extending loans and preventing additional interest rates from being applied due to credit rating downgrades."

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