Sogongyeon, "Retroactive Application and Support for Medium-Sized Enterprises Must Be Included for Complete Loss Compensation"

[Asia Economy Reporter Kwak Minjae] A small business association expressed regret that ‘retroactive application’ and ‘support for medium-sized enterprises’ were excluded from the government’s supplementary budget proposal.

The Korea Federation of Micro Enterprise Associations (KFMEA) issued a statement on the 12th, saying, “For full compensation of losses supporting small business owners and self-employed individuals affected by COVID-19, retroactive application and support for medium-sized enterprises must be included.”

However, KFMEA positively evaluated that the supplementary budget proposal reflected improvements to the loss compensation system requested by the transition team, including the ‘100% correction rate calculation method’ and ‘raising the minimum amount,’ as well as financial support measures covering new loans, refinancing loans, and debt restructuring.

KFMEA emphasized, “There must be substantial recovery of damages suffered by small business owners and the self-employed,” and added, “We hope the government will not stop at fragmented support but will prepare comprehensive support policies for genuine ‘damage recovery.’”