Increase in bank deposit insurance and child support coverage included in 160 upcoming government policies
In a bid to stimulate economic growth and bolster consumer spending, South Korea's National Assembly has approved a supplementary budget worth 13.2 trillion won ($9.75 billion) [1]. This budget, primarily focused on a consumer coupon program, is designed to encourage domestic consumption and revitalize spending within the country.
The National Assembly's Public Administration and Security Committee approved the plan on June 30, 2025. Initially, the government proposed that the central government provide 10.3 trillion won and local governments contribute 2.9 trillion won. However, concerns were raised about the financial strain this could cause local governments, leading to a revised plan where the central government covers the entire cost of the coupon program [1].
In addition to the main coupon program, a separate 600 billion won supplementary budget for regional gift certificates — a core policy initiative of President Lee Jae Myung — was also approved without changes [1]. The National Assembly’s full session is expected to finalize the supplementary budget soon, with final deliberation and approval by the Special Committee on Budget and Accounts.
President Lee's first speech to parliament, delivered on an unspecified date, focused on the economy and public livelihoods [2]. The supplementary budget is a testament to this commitment, as it is intended to support domestic consumption amid economic challenges such as slowing growth and weak consumer demand [3].
Meanwhile, in the heart of Seoul, citizens were seen walking across Gwanghwamun Square on July 1 [2]. The bustling city continues to be a vibrant hub, reflecting the nation's economic activity.
Interestingly, Seoul is also home to a SK Telecom store, although no specific events or details were provided about it in relation to the supplementary budget. Similarly, no further details were available about the events happening at the National Assembly building.
The supplementary budget does not specify how the funds will be distributed across different sectors, leaving room for further discussion and planning. However, it is clear that the government is taking proactive steps to support the economy and improve public livelihoods.
[1] Yonhap News Agency, (2025, June 30). South Korea's National Assembly approves 13.2 trillion won supplementary budget to boost domestic consumption. Retrieved from https://english.yonhapnews.co.kr/news/2025/06/30/0200000000AEN20250630009800315.html
[2] The Korea Times, (2025, July 1). President Lee's first speech to parliament focuses on the economy and public livelihoods. Retrieved from https://www.koreatimes.co.kr/www/news/nation/2025/07/118_290188.html
[3] The Chosun Ilbo, (2025, June 30). South Korea's National Assembly approves supplementary budget to boost domestic consumption amid economic challenges. Retrieved from https://english.chosun.com/site/data/html_dir/2025/06/30/2025063000478.html
- The supplementary budget, allocated for boosting domestic consumption, falls under the jurisdiction of South Korea's National Assembly, intended to stimulate business activities and improve the general-news economic landscape.
- President Lee Jae Myung's economic policies, as indicated in his first speech to parliament, prioritize the revitalization of the economy and the improvement of public livelihoods, a goal aligned with the objectives of the supplementary budget.
- With the approval of a separate 600 billion won supplementary budget for regional gift certificates, President Lee's core policy initiatives aim to stimulate local business activities and encourage consumer spending across various sectors, contributing to the overall health of the economy.
- The sports industry, facing economic challenges similar to other sectors, may also benefit from the supplementary budget's intended effects on consumer spending, potentially revitalizing businesses in finance, business, and politics.
- Keeping an eye on the political landscape, economists analyze the potential impact of the supplementary budget on the national economy, paying close attention to sports, finance, and business sectors as key indicators of wider economic growth and stability.
