The financial authorities expressed a cautious stance regarding the payment of 250,000 won in regional currency to all citizens.
On the 15th, Vice Prime Minister and Minister of Economy and Finance Choi Sang-mok said during a National Assembly government questioning session, “I have many questions about the economic effects of uniform and temporary cash payments.”
On that day, the Democratic Party emphasized the need for fiscal input to stimulate the economy, pointing out that the government’s supplementary budget proposal is “abysmally insufficient.” In response, Vice Prime Minister Choi noted, “Support for vulnerable groups such as small business owners is possible, but the necessity for economic stimulation for all citizens is currently not significant.”
Vice Prime Minister Choi said, “The economy is currently difficult. The uncertainty of the global trade order is the main cause,” and stated, “It is appropriate to support tariff negotiations or affected industries to address this.” He added, “(Support for all citizens) cannot entail a large supplementary budget considering the sustainability of finances and the government bonds market.”
He also clarified the position regarding the scale of the supplementary budget. The government announced a necessary supplementary budget of 12 trillion won. In response, Vice Prime Minister Choi emphasized, “The urgent issue now is speed,” asking for prompt discussions in the National Assembly. He continued, “The response to people’s livelihoods and trade is crucial,” stating, “Although the consolidated fiscal balance without social security fund deficit slightly exceeds 3%, I believe it is manageable in the short term.”
Regarding the ongoing discussion within the Democratic Party about the separation of the Ministry of Economy and Finance, Vice Prime Minister Choi said, “I am not in a position to comment on that,” but noted that it is an issue that makes one reflect on whether (the ministry) is trusted.