Democratic Party: "COVID-19 Compensation Should Be Prepared as Generously and Quickly as Possible"

[Asia Economy Reporter Oh Ju-yeon] The Democratic Party of Korea has requested the financial authorities to adopt an active expansionary fiscal policy for COVID-19 loss compensation, urging efforts to enable the most substantial and swift compensation possible.

On the 7th, the Democratic Party issued a statement saying, "Through continuous communication with the government, we will promptly prepare various damage support policies, including the 'Win-Win Solidarity 3 Acts' encompassing loss compensation, the cooperation profit-sharing system, and the social solidarity fund, as well as disaster relief funds."

Spokesperson Heo Young explained, "COVID-19 has dealt a severe blow to our economy, and the burden on national finances is rapidly increasing. While it is natural for the financial authorities managing the country's treasury to be vigilant, as of last year, our national debt ratio stands at around 44%, which is better than Japan (241.6%), the United States (128%), and Germany (73%)."

He continued, "According to data from the National Assembly Research Service, Canada provided emergency subsidies worth 2,000 Canadian dollars (approximately 1.7 million KRW) every four weeks to workers and self-employed individuals directly affected by COVID-19 as of April last year. Subsequently, unemployment benefits have been paid through employment insurance that self-employed individuals can also join. Australia also supports up to 1,500 Australian dollars (approximately 1.28 million KRW) every two weeks through a wage support program that includes self-employed individuals," emphasizing, "Saving the people is the duty of the state."

Spokesperson Heo expressed concern, saying, "We must not miss the optimal timing for economic recovery. If numerous self-employed people give up their livelihoods before stimulus measures are implemented, our economy will require much more time and cost to return to its previous state."

He concluded by stating, "An active expansionary fiscal policy is necessary to enable just compensation as stipulated in Article 23 of the Constitution of the Republic of Korea," and urged the financial authorities to "approach discussions with flexibility and warmth to ensure the most substantial and swift compensation possible."