Muju County in North Jeolla Province has become the first county-level local government in South Korea to fund a universal basic income program entirely from its own budget.
The program, which began Tuesday, provides 800,000 won ($550) annually to all registered residents as part of an experimental policy to combat population decline and regional extinction.
Under the "Muju-style Basic Income" initiative, eligible residents receive 400,000 won every six months in the form of Muju Love Gift Certificates, a local currency. The certificates are available via automatic mobile recharge or physical cards, which can be collected at local administrative welfare centers.
The county plans to complete disbursements by Thursday. For the first half of the year, approximately 21,725 residents will receive payments totaling about 8.69 billion won. During the application period from February 23 to March 6, roughly 95% of eligible residents submitted applications.
The program is funded by 18.4 billion won that Muju secured through a 2025 competitive grant for a rural basic income pilot project.
Recipients must use the certificates within 90 days at small business establishments and traditional markets within Muju's six towns and townships. Unused amounts expire automatically after the deadline.
"Muju-style basic income is a social security policy that provides residents with financial breathing room while injecting vitality into the local economy," said Noh Chang-hwan, deputy county chief. "This will serve as a foundation for the expanded rural basic income support project scheduled for 2028."
The initiative has drawn attention from the highest levels of government. President Lee Jae-myung mentioned Muju County at a town hall meeting in Jeonju last month.
"During my time out of office, I often cited Muju as the most suitable region for rural basic income," Lee said. "I believed that if areas with good natural environments received a certain level of support, people might return."
Lee praised the county for launching the program with its own budget despite not being selected for the national rural basic income pilot project. "Such initiatives are policies that must continue," he said.
At a cabinet meeting on February 24, the president called for expanding support to ensure "regions that actively pursue such programs are not left out."