Gov't to hand out cash vouchers to boost consumption

ㅁㄴㅇㄹ — President Lee Jae-myung presides a cabinet meeting in the presidential office in Seoul on June 19, 2025. Yonhap

SEOUL, June 19 (AJP) - All South Koreans will get a cash voucher ranging from 150,000 won to 500,000 won (US$109 to $362) depending on their income brackets, as early as next month.

It is part of plans to boost private consumption and revive the economy, as President Lee Jae-myung signed off on a supplementary budget worth 20.2 trillion won ($14.5 billion) during a cabinet meeting in Seoul on Thursday.

The budget, which still requires parliamentary approval, also includes support for struggling small business owners and financially vulnerable individuals by easing their debt burdens and resolving insolvencies.

The ruling Democratic Party (DP) called for swift approval to help those facing financial hardship, while the main opposition People Power Party (PPP) criticized the move as a populist policy, arguing that simply handing out cash from the state coffers would only increase the national debt, which has now risen to 1,300 trillion won. The debt-to-GDP ratio also climbed to 49 percent, nearing 50 percent.

Lee plans to deliver a speech on the budget at the National Assembly early next week, according to his office. He is also scheduled to meet with DP and PPP leaders at his temporary residence in Hannam-dong on Friday.

Im Yoon-seo lyseo0330@ajupress.com

Gov't to hand out cash vouchers to boost consumption

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