A 26.2 trillion won ($18.7 billion) supplementary budget designed to ease the burden on citizens caused by the Middle East war was approved by the Cabinet on the 11th.
The government deliberated and approved the supplementary budget that passed the National Assembly the previous day at an interim Cabinet meeting chaired by Prime Minister Kim Min-seok that morning. The supplementary budget was submitted to the National Assembly on the 31st of last month and passed the plenary session the previous night following a bipartisan agreement.
The supplementary budget, dubbed the "war supplementary budget," centers on three main pillars: easing the burden of high oil prices, stabilizing livelihoods, and minimizing industrial damage while stabilizing supply chains. Notably, it includes "high oil price damage relief payments" ranging from 100,000 to 600,000 won per person for 32.56 million people in the bottom 70% income bracket. A total of 4.8 trillion won has been allocated for this program. The government plans to distribute the first round of payments this month to basic livelihood security recipients and near-poverty households, while payments for the bottom 70% income group will be disbursed as quickly as possible after a screening process.
Additionally, 4.2 trillion won will be invested in supporting the oil price ceiling system to respond to surging energy prices. The budget also includes funding for a temporary 50% discount on K-Pass, the public transportation fare rebate service, as well as support for naphtha import price differentials and other measures to stabilize raw material supply.
Prime Minister Kim said at the plenary session the previous day, "The supplementary budget was finalized 29 days after the government began drafting it," adding, "We will mobilize all administrative resources to ensure that this precious budget reaches those struggling due to the Middle East war swiftly and effectively."
