Gimcheon-si Surpasses 30 Billion KRW in Sales of 'Local Currency' Gift Certificates and Cards

Sales of 100 Billion Won This Year Seem Achievable

Kim Choong-seop, mayor of Gimcheon, holding a local love gift certificate and posing for a commemorative photo with market merchants.

[Asia Economy Yeongnam Reporting Headquarters Reporter Choi Jae-ho] Gimcheon City, Gyeongbuk Province (Mayor Kim Chung-seop) announced that Gimcheon Sarang Gift Certificates (cards) have sold 30.1 billion KRW as of the 6th of this year. The sales consist of 21.9 billion KRW in Gimcheon Sarang Cards and 8.2 billion KRW in paper gift certificates.

Gimcheon City initially planned to issue local currency worth 50 billion KRW this year, but due to the prolonged COVID-19 pandemic, it decided to expand issuance up to 100 billion KRW to revitalize the local economy.

The Gimcheon Sarang Gift Certificates (cards) can only be used within the Gimcheon area. They cannot be used at large supermarkets, gambling establishments, or franchise stores headquartered in metropolitan cities, so it is expected that practical benefits will go to local small business owners and self-employed individuals.

As a measure to increase the use of local currency, Gimcheon City is conducting a purchase relay campaign targeting corporations and has introduced various policies such as raising the monthly card purchase limit from 700,000 KRW to 1,000,000 KRW.

As a result, monthly sales have steadily increased: 5.7 billion KRW in January, 6.2 billion KRW in February, 6.8 billion KRW in March, and 8.4 billion KRW in April. Most importantly, the redemption rate is 97%, which appears to have an immediate positive impact on the local economy.

Mayor Kim Chung-seop of Gimcheon said, "We believe the Gimcheon Sarang Gift Certificates (cards) have established themselves as local currency that greatly helps small business owners and the self-employed," and emphasized, "We are conducting a 10% discount sale until the end of the year, so we hope people purchase many Gimcheon Sarang Cards to save on living expenses and support the local economy."