GOVT TO PROVIDE EMERGENCY FINANCIAL SUPPORT

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The government will dole out emergency financial support to help South Koreans ride out the novel coronavirus pandemic. The disaster relief payments will be given to 14 million households within the bottom 70 percent income bracket. One million won will be given to four-member households. The number of beneficiaries and the amount of handouts are greater than the government's initial plan.

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President Moon Jae-in began a meeting by expressing condolences to those who died from COVID-19. He then warned against severe economic repercussions that will be caused by the pandemic.

[Soundbite] PRES. MOON JAE-IN : "No one can predict how long and deep the wounds of the pandemic will leave on the global economy."

The president said that every Korean deserves to receive compensation, as they all suffered and cooperated in efforts to stop the spread of the virus. But he also noted a limit in the government's fiscal capacity. He then announced a decision to supply emergency relief funds to 70 percent of households in the country. The amount of the aid will be one million won for families with four members, with amounts varying for households with more or less members. The relief money is expected to be provided to around 14 million households, which adds up to around 36 million people. But the handouts will be given in the form of gift certificates or digital money, instead of cash. The latest decision will benefit more households than the government's initial plan to help ten million households. The government said it was a difficult decision to make.

[Soundbite] PRES. MOON JAE-IN : "I ask those with a financial cushion to understand and make concessions for those earning less."

The government will draft a second supplementary budget to fund the nine-trillion-won emergency relief plan. To finance the second extra budget, the government will cut expenditures in other areas. The government plans to dole out the emergency relief by mid-May, with the aim to have the extra budget bill approved by parliament shortly after the April 15 general elections.

[Soundbite] PRES. MOON JAE-IN : "Despite the fiscal burden, the government has made the decision to offer comfort and encouragement to the people."

To help low-income earners and small business owners, the government also decided to postpone or exempt the payment of four key social insurance premiums as well as electricity bills.