Park Wan-joo on Cashback Usage Controversy: "Are You Saying I Should Only Buy Soup at the Market?.. Will Ensure It Circulates Through Consumption"

Park Wan-joo, the Policy Committee Chairman of the Democratic Party of Korea, is attending the floor strategy meeting held at the National Assembly on the 11th and delivering opening remarks. Photo by Yoon Dong-joo doso7@

[Asia Economy Reporter Koo Chae-eun] On the 5th, Park Wan-joo, the Policy Committee Chair of the Democratic Party of Korea, addressed the controversy over the usage restrictions of the Win-Win Consumption Support Fund (credit card cashback), stating that the government’s plan is unreasonable, saying, "Are you telling people to buy 1 million won worth of gukbap at traditional markets? That makes no sense," and emphasized that the usage scope should be significantly expanded.

At a press briefing at the National Assembly that morning, Chair Park said, "While promising to stimulate 10 trillion won in consumption, they have blocked online shopping malls, which are a consumption trend among people in their 30s and 40s, from the card usage locations."

He added, "There are people who want to use the consumption support fund to replace washing machines at their rural homes. What if they are not allowed to do that?" and said, "(The government) is trying to undermine the policy by prioritizing administrative convenience while spending the money anyway. The goal should be to get consumption circulating."

He also said, "We are asking the government to come back with a revised plan. This is an important issue," suggesting the possibility of expanding the usage scope during future party discussions and National Assembly review processes. Previously, the ruling party and government had tentatively agreed to exclude department stores, large discount stores, online shopping malls, and luxury specialty stores from the credit card cashback usage locations, but there were repeated criticisms within the party that the restrictions were excessive.

Regarding the ruling party and government’s decision to limit disaster relief fund payments to the bottom 80% income bracket, Chair Park said, "We plan to hold a party meeting on the 7th to gather various opinions on whether to set the cutoff at 80% or 90%," and added, "The government intends to propose the 80% plan, but when budgeting, the government’s original plan will not be followed as is."

He continued, "If payments are not made to all citizens, the party is strongly urging the government to raise the cutoff line for dual-income couples. I understand the government is also conducting simulations," he said. Regarding legislation on the Anti-Discrimination Act, he explained, "We will bring the Equality Act (Anti-Discrimination Act) and the current status of the Abortion Act to today’s high-level strategy meeting to discuss how to proceed with legislation."