Seoul City Allocates 1.8 Trillion Won in 2nd Supplementary Budget to "Stabilize Livelihoods and Strengthen Social Safety Nets"

Matching 250,000 KRW per person in 'National Support Fund' for the bottom 80% of household income, ensuring rapid disbursement

[Asia Economy Reporter Lim Cheol-young] The Seoul Metropolitan Government has urgently prepared a second supplementary budget of 1.7858 trillion won to stabilize the livelihoods of citizens who are increasingly struggling due to the fourth wave of COVID-19 and to strengthen the social safety net. It submitted the budget to the Seoul Metropolitan Council on the 18th and requested deliberation.

According to Seoul City, the supplementary budget includes increased projects worth 2.189 trillion won and decreased projects worth 403.2 billion won. Compared to the existing budget of 44.8623 trillion won, this is an increase of 1.7858 trillion won (4.0%), totaling 46.6481 trillion won.

Excluding other account transfers and contingency funds among the increased projects, the budget allocated for COVID-19 damage support, livelihood stabilization support, and strengthening the quarantine response system amounts to 2.096 trillion won. While the first supplementary budget approved in June (4.2583 trillion won) was organized to invest in three major areas?livelihood recovery, safety and security, and the future of the city?this supplementary budget focuses on strengthening the COVID-19 social safety net.

The main areas of investment in the second supplementary budget are threefold: payment of the “COVID-19 Coexistence National Support Fund” of 250,000 won per person, employment and livelihood stabilization support (91 billion won), and strengthening the quarantine response system (149.3 billion won).

First, Seoul City has allocated 1.8557 trillion won for the prompt execution of the “COVID-19 Coexistence National Support Fund” paid by both the government and the city. The fund aims to comfort Seoul citizens who have suffered direct or indirect damage due to the prolonged COVID-19 pandemic and to secure a safety net by providing 250,000 won per person. The support targets households in the bottom 80% of income based on health insurance premiums, as well as dual-income and single-person households subject to separate special criteria.

Applications can be made both online and offline, and recipients can choose to receive the support via credit or debit cards, local gift certificates, or prepaid cards. Specific details such as application and payment schedules will be finalized according to government plans.

Seoul City plans to promptly organize the COVID-19 Coexistence National Support Fund with the cooperation of the city council and distribute the support funds to citizens as soon as possible following government guidelines considering the quarantine situation. This aims to serve as a foundation for increasing sales for self-employed and small business owners suffering during the COVID-19 situation and revitalizing the local economy.

Next, 91 billion won will be provided to support employment and livelihood stabilization for vulnerable groups facing a livelihood cliff due to the fourth wave of COVID-19. To ensure that newly vulnerable groups created by COVID-19 are not excluded from care, the number of beneficiaries for livelihood benefits and other supports will be increased, and 11,000 new jobs will be created. Additionally, the “Seoul Love Gift Certificate” will be issued additionally on a scale of 250 billion won to help increase sales for small business owners and the self-employed.

Efforts will also be made to strengthen the quarantine system to block the spread of the fourth wave of COVID-19 and minimize damage. An additional 99.8 billion won will be deposited into the Seoul Disaster Management Fund to be used for operating residential treatment centers, extending and operating temporary screening clinics at Seoul Plaza, and supporting goods for those in self-quarantine. A budget of 49.5 billion won has also been allocated to support quarantine activities such as isolation hospitalization treatment costs and living support expenses for those in quarantine.

Seoul City plans to secure supplementary budget resources by maximizing the use of all available funds such as funds and, at the same time, restructuring expenditure projects within the scope that does not interfere with existing projects to prepare the necessary resources.

Kim Ui-seung, Director of Planning and Coordination at Seoul City, said, “The fourth wave of COVID-19 has deepened the management difficulties of small business owners in Seoul and prolonged the employment freeze. While blocking the spread of COVID-19, additional support is needed to assist citizens who are increasingly struggling and to stabilize their livelihoods. We will actively support citizens affected by COVID-19 by promptly organizing and executing the second supplementary budget in close cooperation with the city council.”

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