Yeosu Mayor Kwon Oh-bong Said No Disaster Relief Fund Due to Lack of Money... But Treasury Holds 87 Billion Won

Yeosu Citizens' Association, 87 Billion Won Stored in the Integrated Financial Stabilization Fund Treasury

[Asia Economy Honam Reporting Headquarters Reporter Lee Hyung-kwon] The Yeosu Citizens' Association reported that after analyzing the “3rd supplementary budget proposal” submitted by Yeosu City to the 206th regular meeting, “most of the budget was cut due to COVID-19, but an enormous amount of money was stockpiled through internal transactions in the Integrated Financial Stabilization Fund.”

Accordingly, they strongly criticized Yeosu City, stating, “While citizens are becoming debtors in the COVID-19 disaster situation and the city claims it cannot provide disaster basic income due to lack of funds, the money accumulated in the Integrated Financial Stabilization Fund’s treasury reaches 87 billion KRW.”

The Integrated Financial Stabilization Fund is a newly established fund based on the “Yeosu City Integrated Financial Stabilization Fund Ordinance,” which was recommended by the Ministry of the Interior and Safety in mid-this year and implemented in October.

With the approval of the 3rd supplementary budget, Yeosu City’s total amount of the Integrated Financial Stabilization Fund, including the existing Integrated Management Fund of 45 billion KRW, amounts to approximately 87 billion KRW.

Regarding the Integrated Financial Stabilization Fund, they stated, “Since this money is not allocated to any project, it means that if the mayor has the will, disaster basic income can be immediately provided to Yeosu citizens,” directly targeting Mayor Kwon Oh-bong of Yeosu City.

In particular, the stabilization account, which has accumulated 42 billion KRW, is claimed to be a “Rainy Fund,” meaning that when local government finances are stable, money is saved to be flexibly used in crisis situations such as disasters, economic downturns, or emergencies like COVID-19.

Yeosu City claims that despite citizens becoming debtors, “there is no money to provide disaster basic income,” yet “42 billion KRW was saved in this year’s budget settlement.”

Meanwhile, the Yeosu Citizens' Association demands that “Yeosu City disclose the usage plan of the Integrated Financial Stabilization Fund in detail to the citizens,” and “clarify the priority of fund operation.”

They also stated, “If there are projects more important than comforting the lives of citizens suffering from COVID-19, reasonable grounds acceptable to all citizens must be presented,” urging strongly not to neglect citizens’ lives with the excuse of “no more money” and to promptly provide disaster basic income to revitalize domestic consumption amid the regional economic downturn caused by the spread of COVID-19.