Emergency Disaster Relief Fund Boom... Plastic Surgery Clinics and Luxury Shops Thrilled

"Available" Notice Attracts Customers
Plastic Surgery and Dermatology Appointments Fully Booked

Luxury Flagship Stores and Select Shops
COVID-19 'Revenge Spending' Brings Joy

Support Funds to Revive Small Businesses and Domestic Demand
'Purpose Undermined' Usage Fairness Controversy

[Asia Economy Reporters Byungdon Yoo, Seungyoon Song] Plastic surgery and dermatology clinics are experiencing an unexpected boom due to the government's nationwide emergency disaster relief fund distribution. This is because hospitals are included as places where the funds can be used, but there is controversy over whether using the disaster relief funds for cosmetic purposes rather than disease treatment is appropriate. While the funds cannot be used at department stores, they can be used at individual brand shops, which is also a boon for some 'luxury shops.'

On the 22nd, inquiries about consultations and procedures were made at plastic surgery and dermatology clinics located in Gangnam-gu, Seoul. When asked if the disaster relief funds could be used, hospital staff responded very familiarly, saying "Yes, it is possible." One hospital consultation staff member said, "There are many inquiries about whether payment can be made with the disaster relief funds," and encouraged, "If you don't make a reservation right now, the reservation date may be pushed back." Some hospitals are actively attracting customers by sending text messages guiding the use of disaster relief funds.

The suddenly given 'extra money' also leads to luxury spending. Although the government restricted use at department stores and large marts to support small business owners and stimulate domestic consumption, an ironic situation is unfolding where disaster relief funds can be used at global luxury brand stores. At flagship stores of high-end luxury brands such as Chanel, Herm?s, and Louis Vuitton, payment with disaster relief funds is possible. This is because the stores are located outside department stores and are not included in restricted business categories.

Office worker Mr. Kwak (35) said, "I had wanted a pair of luxury brand shoes but was hesitant because of the price, but after receiving 800,000 won in disaster relief funds, I boldly purchased them," adding, "The support fund was given to me, so isn't it my freedom to decide how to use it?"

While possible at luxury brand stores, the use of disaster relief funds is restricted at small-scale sports facilities. Typical examples include screen golf courses, table tennis halls, and billiard halls. Many of these businesses are owned by small self-employed operators but do not benefit at all from the disaster relief fund boom because they are classified as 'entertainment and luxury industries.'

Also, even within the same company, whether disaster relief funds can be used varies depending on the store type. E-Mart direct stores and Traders are classified as large marts and warehouse-type stores, respectively, and disaster relief funds cannot be used there, but No Brand stores are classified as franchise stores and can be used.

The government, generally aware of these issues, is also discussing plans to partially revise the usage guidelines. On the 18th, Yoon Jong-in, Vice Minister of the Ministry of the Interior and Safety, said at a press briefing held at the Government Seoul Office, "We are aware of the fairness controversy regarding usage locations," and added, "We will discuss the issue of including or excluding individual franchise stores in the eligible business categories."

The medical community has also expressed its position to "correct problematic areas through self-regulation activities" regarding some medical institutions promoting the use of disaster relief funds.