Next Month, 88% of Citizens to Receive 250,000 Won Each... Supplementary Budget Increased by 1.9 Trillion Won

Supplementary Budget of 34.9 Trillion Won Passed in National Assembly Plenary Session on 24th
Single-Person Household Income Standard Raised from 40 Million Won to 50 Million Won

[Image source=Yonhap News]

[Asia Economy Reporter Park Cheol-eung] The supplementary budget (supplementary budget) worth 34.9 trillion won passed the National Assembly plenary session on the 24th. 88% of the people, excluding high-income earners, will receive disaster relief funds of 250,000 won per person next month. Small business owners will receive up to 20 million won. This is an increase of 1.9 trillion won compared to the government's proposal during the National Assembly review process.

The Democratic Party of Korea explained, "We strengthened the Hope Recovery Fund and support for future quarantine losses to an extent that small business owners affected by COVID-19 can feel, and raised the criteria for dual-income households and single-person households in the national disaster relief fund to expand benefits."

The largest increase of 1.4 trillion won was made in the Hope Recovery Fund (+1 trillion won) and damage loss compensation (+400 billion won) for small business owners. The upper limit of the Hope Recovery Fund was raised from the existing 9 million won to 20 million won. In the case of the national disaster relief fund, 600 billion won was increased to expand support for dual-income households and single-person households. The government has stated that if the supplementary budget passes, it will prepare to start paying the national support fund within a month.

The original plan was to support 250,000 won per person to the bottom 80% of income earners, with 18.56 million households and 41.36 million people as beneficiaries. The revised plan expanded the target to 87.7%, 44.72 million people.

The number of dual-income households increased by 710,000 households, 2.29 million people, and single-person households increased by 1.07 million households, 1.07 million people. The annual income criteria for dual-income households are 86.05 million won for two people, 105.32 million won for three people, 124.36 million won for four people, and 143.17 million won for five people. For single-person households, the annual income was raised from 39.48 million won (3.26 million won per month) to 50 million won (4.17 million won per month).

In the quarantine sector, an additional 500 billion won was secured to support medical institution loss compensation, confirmed patient treatment budgets, and medical personnel, and 200 billion won was increased for vulnerable public transportation, meal support for children at risk of food insecurity, and aquaculture damage support.

The 2 trillion won allocated for national debt repayment was approved without change from the existing government proposal, and about 700 billion won, including 400 billion won for the Win-Win Consumption Support Fund (credit card cashback), 300 billion won for job projects, and 10 billion won for cultural consumption coupons, was reduced.

The additional 1.9 trillion won needed will be procured with 900 billion won from the existing fund balance and 1 trillion won through structural adjustments such as adjusting the interest rate on government bonds.

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