Seoul: The government on Sunday proposed a supplementary budget worth at least 10 trillion won (US$6.8 billion) to support the economy hit by political uncertainties and destructive wildfires. In an emergency economic ministers' meeting, Finance Minister Choi Sang-mok stated that the government plans to push for an extra budget of some 10 trillion won, which he described as a necessity to resolve the most urgent pending issues.
According to Yonhap News Agency, the supplementary budget will be allocated to respond to disasters and accidents, enhance trade and artificial intelligence (AI) capabilities, and provide financial support for people's livelihoods. The wildfires, which have been the most destructive to hit the country, have burned about 48,000 hectares of land, equivalent to over 2,600 football fields, and claimed the lives of at least 30 people in the southeastern areas of the country.
In addition to post-wildfire recovery efforts, the government aims to address uncertainties triggered by the Donald Trump administration's sweeping tariffs and to compete for leadership in the rapidly evolving AI industry. Choi, who also serves as deputy prime minister for economy, highlighted political uncertainties as a concern for the economy, following the imposition of short-lived martial law by President Yoon Suk Yeol on December 3.
The government plans to draft a detailed supplementary budget plan and submit it to the National Assembly before the end of next month, contingent upon bipartisan support from the ruling and opposition parties. Choi emphasized the importance of passing the supplementary budget within April to handle wildfire damages, respond to external challenges, and stabilize people's livelihoods.
Acting President Han Duck-soo, appearing on a KBS special program on the wildfires, pledged to pass a supplementary budget within the next month through collaboration with both ruling and opposition parties. He stated that while the government will actively utilize the existing budget, it will also seek to secure additional resources to address urgent challenges faced by affected farmers, including housing, seeds, and agricultural machinery procurement.