Korea’s cash handout program will launch on July 21, aiming to boost spending and support household income across the country. The government allocated 31.8 trillion won ($23.3 billion) for the plan. Each eligible person will receive at least 150,000 won (about $110) as a one-time payment.
Vice Interior Minister Kim Min-jae explained the purpose at a press briefing. He said the goal is to spark local consumption and improve economic activity. While the program mainly targets Korean nationals, some foreign residents may also qualify. To apply, foreign nationals must meet certain conditions. They must live in a household with at least one Korean citizen and hold national health insurance or medical aid. Eligible visa holders include F-5 permanent residents, F-6 marriage migrants, and F-2-4 recognized refugees.
Officials confirmed that returning Koreans may also claim the benefit. They must re-enter Korea between June 18 and September 12 and present entry records. The government plans a second round of payments in September. This round will give 100,000 won to 90% of Korean citizens based on income and asset levels. Foreign nationals must meet the same requirements as before.
Residents living in areas outside Seoul or in declining population zones will get extra aid. They will receive either 30,000 or 50,000 won in addition to the main amount. People can spend the money at small local businesses. These include mom-and-pop stores, traditional markets, salons, barbershops, and restaurants. However, large retailers like department stores, duty-free shops, and major chains will not accept the handout.
Applicants can choose how to receive the money. Options include credit cards, debit cards, prepaid cards, or gift certificates from local governments. Korea’s cash handout program will run for eight weeks until September 12. People must spend the funds by November 30. Any unused balance will go back to the government. Officials hope Korea’s cash handout program will inject energy into the local economy and offer relief to struggling households.
