South Korea tops up economic stimulus package

  • South Korea
  • Wednesday, 08 Apr 2020

South Korea's President Moon Jae-in. - Reuters

SEOUL (Xinhua): South Korean President Moon Jae-in said Wednesday (April 8) that his government will add about 56 trillion won (US$46 billion) for additional economic stimulus package to help prevail over the economic fallout from the Covid-19 outbreak across the world.

"The global economy is falling into an extreme downturn. Our economy with high dependence on foreign trade is suffering a tsunami-like shock. (We) are in a dark tunnel with no end in sight," Moon said during the fourth weekly meeting of the emergency economic council, according to the presidential Blue House.

Moon said the stimulus package was aimed to reinvigorate export, bolster domestic demand and support start-ups and venture companies.

South Korea's export fell 0.2 per cent in March from a year earlier, after growing 4.3 per cent in February. The export was forecast to slide rapidly in April.

To prop up the rapidly frozen domestic demand, 17.7 trillion won (US$14.5 billion) will be provided including 12 trillion won (US$9.8 billion) in tax cut for the self-employed of about 7 million suffering losses.

People here refrained from outside activities such as travelling, shopping and eating-out amid the fears of infection, hitting hardest the self-employed and microbusiness owners.

For start-ups and venture companies, 2.2 trillion won (US$1.8 billion) will be given through low-rate loans and loan guarantees.

It was the fourth stimulus package to get over the economic slowdown from the Covid-19 outbreak. - Xinhua

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South Korea , stimulus , package , covid-19


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