South Korea’s National Assembly will pass an extra budget for wildfire recovery and economic uncertainty on Thursday evening. Lawmakers scheduled the plenary session for 8 p.m., marking the first such budget of the year. Both major parties, the Democratic Party and People Power Party, reached a last-minute agreement. The deal raised the proposed budget from 12.2 trillion won to 13.8 trillion won. This boost highlights urgency in addressing regional recovery and economic resilience.
The agreement came after intense bipartisan negotiations earlier in the day. Lawmakers decided to increase support for wildfire-hit areas and address broader economic challenges. The final extra budget for wildfire recovery includes key provisions targeting consumer spending and infrastructure development. Officials emphasized the need to stimulate the local economy while managing rising global uncertainties. The revised proposal reflected concerns about trade tensions and domestic consumption levels.
Under the new plan, 400 billion won will go toward local government gift certificates. These community-based vouchers aim to stimulate purchases in affected regions and support local businesses. Lawmakers also added 200 billion won to subsidize discounts on agricultural and seafood products. These goods come from areas damaged during the March wildfires that burned 104,000 hectares. In addition, the plan allocates 800 billion won to build public infrastructure like homes, roads, and railways.
The extra budget for wildfire recovery also reinstates some previously cut funds. Lawmakers restored 50 billion won to support the prosecution’s special activities budget. They also added 4.5 billion won for the state-run Board of Audit and Inspection. These restorations followed political bargaining between the rival parties. The Democratic Party had earlier led the initiative to reduce government expenditure on these agencies. However, both sides eventually agreed on limited reversals for functional balance.
Ruling party members stressed the importance of the budget’s dual focus. Rep. Kweon Seong-dong from the People Power Party said it offers hope to wildfire victims. He noted the party worked hard to restore funding related to public safety and investigations. Moreover, Kweon claimed they carefully avoided a sharp increase in national debt. The People Power Party prioritized fiscal responsibility throughout the budget discussion.
In contrast, the opposition Democratic Party voiced concerns about the budget’s scale. Rep. Park Chan-dae argued the extra budget for wildfire recovery still falls short of public needs. He explained that his party had initially proposed a 35 trillion won package. According to him, more robust support would better address both local recovery and economic headwinds. However, the final agreement reflects political compromise rather than full satisfaction.
Both parties ultimately recognized the need for urgent action. South Korea continues to face external pressures, including possible tariffs from the United States. The budget aims to shield the economy while helping residents rebuild their lives. The March wildfires left long-term damage, affecting farms, homes, and forests across southeastern regions. Lawmakers now hope this funding can accelerate rehabilitation and stability.
In the coming weeks, government ministries will begin disbursing the approved funds. Officials plan to monitor progress closely and report on economic impact. Many analysts believe more stimulus may follow if trade tensions worsen. Still, leaders agree that this extra budget for wildfire recovery sends a strong signal of national unity. With cooperation across party lines, South Korea has taken a step toward healing and resilience.
