Seoul City Announces 48 Trillion Won 2025 Budget Plan
Oh Se-hoon: "A Kind of Magic... No Burden on Future Generations"
Low Birthrate Response Budget Draws Attention... 1 Trillion Won for Newlywed Housing
'Citizen Health' Projects for Aging Population... Isolation and Withdrawal Management
The Seoul Metropolitan Government has prepared a budget of 48.0407 trillion won for 2025. This is the largest budget ever, reflecting a proactive investment intention in response to demographic changes such as low birth rates and aging population. Contrary to concerns about declining tax revenue, the budget operation was facilitated by an increase in acquisition tax due to active housing transactions, according to Seoul city officials. Nevertheless, efficient debt management is expected to be possible. Seoul Mayor Oh Se-hoon emphasized, "Increasing the budget for accompanying the vulnerable and creating vitality in Seoul while minimizing the budget is a kind of magic," calling it "a matter of will."
On the 31st, Seoul announced next year's budget plan centered on establishing a citizen welfare system that matches demographic changes. Mayor Oh, who personally presented the budget plan, promised, "We will actively invest in citizens' health and safety and Seoul's future, while continuously reducing Seoul's debt so that current investments do not become burdens for future generations."
Seoul Mayor Oh Se-hoon unveiled next year's budget proposal, the largest ever at 48 trillion won, on the morning of the 31st at Seoul City Hall. [Photo by Seoul City]
Next year's debt expected to fall to 11.3915 trillion won... Oh calls it "the result of painstaking efforts"
The 48.0407 trillion won budget plan for next year, revealed by Mayor Oh, is the largest ever, exceeding the 2024 budget plan of 45.7405 trillion won?which had decreased for the first time in 13 years?by 2.3 trillion won. It is also 850 billion won more than the 2023 budget of 47.1905 trillion won, which was previously the largest. On the other hand, the debt size has been confirmed to maintain a continuous downward trend. The debt, which was 11.898 trillion won in 2022, is expected to adjust to 11.4425 trillion won in 2023, 11.4057 trillion won in 2024, and 11.3915 trillion won next year.
Mayor Oh particularly cited "will" as the background for efficient debt management. Revealing the debt management indicators of the 8th elected term, he explained, "It is a matter of will regarding how to operate the budget and what financial condition to leave to future generations," adding, "It is a very difficult task to invest a lot of budget in necessary matters to achieve policy outcomes while minimizing the burden on future generations and restoring the financial condition." He continued, "I always emphasize this to Seoul city employees and ask them to maintain such budgets," stressing again, "It contains the will that cannot come out without painstaking efforts."
The area Mayor Oh emphasized most was the response to low birth rates. Referring to the recent rebound in birth rates, he described it as "a small hope." He promised, "Seoul will make even bolder investments to not miss this golden time." Accordingly, more than 1 trillion won will be allocated for the supply of public rental housing for newlyweds and youth. Starting next year, 4,000 housing units for newlyweds and 2,504 units for youth will be supplied. The low birth rate response budget includes extensive support for medical expenses and treatment costs for the elderly and infertile couples, support for childbirth households, and assistance with childcare burdens.
Super-aged society... Expansion of citizen health budget including 'Wae·Eop·Seo' program draws attention
As the population aged 65 and over is expected to exceed 20%, entering a super-aged society, a large budget was also allocated for "citizen health." The focus is on creating a healthy city Seoul where citizens can experience "Unse-gwon" (exercise + station area) 365 days a year. For example, subway stations easily accessible in daily life will be developed into exercise spaces, i.e., sports-themed "Fun Stations." Following the currently operating "Runner Station" at Yeouinaru Station (3.2 billion won), additional convenience facilities such as changing rooms and lockers will be installed at 10 more stations next year.
Ten streams in Seoul will be transformed into rest and leisure spaces to create an environment where citizens can manage their health in daily life. Infrastructure for walking and exercising, such as the Jamsugyo pedestrian bridge (7.6 billion won), Namsan Sky Forest Trail (7.4 billion won), and World Cup Park's 2nd Park Golf Course (1.4 billion won), will also be unveiled.
Strengthening the "care support system" is also one of the proactive measures responding to demographic changes. A dense public care system will be established so that anyone can receive sufficient care services whenever desired. A Social Service Support Center will be established at the Seoul Welfare Foundation to improve the quality of private care services, and various supports will begin to create a "Loneliness-Free Seoul (Wae·Eop·Seo)" for isolated and reclusive citizens.
To add stability and vitality to elderly life, the budget for re-education and quality meal support for seniors, such as the "Back to School 7th Grade Classroom" (200 million won), has been expanded. In particular, 44.1 billion won has been allocated for low-income senior meal support, including the "Seoul Bapsang" project, which prepares meals in bulk and delivers lunchboxes, to practice meticulous care.
Major spatial transformation by region... Multifaceted support to strengthen urban competitiveness
"Economic revitalization" is another area Mayor Oh paid close attention to during the budget formulation process alongside welfare. Early detection of small business owners in crisis will be followed by rapid provision of management funds, and a package support (80 billion won) including consulting, cost support, and aftercare will be provided to small business owners considering closure.
The Seoul-style corporate R&D budget supporting small and medium enterprises and startups has been increased by 5.3 billion won from last year to 42.1 billion won. Additionally, global competitiveness of our companies will be enhanced through events such as Smart Life Week.
Urban competitiveness will also be strengthened. Seasonal unique festivals will be held throughout Seoul, including a drone light show (900 million won) and the International Garden Expo, which attracted 7.8 million visitors this year (2 billion won). Scenic lighting will be installed from Naraegyo Bridge to Ogan-su Bridge along Cheonggyecheon to create the Cheonggyecheon Light Trail. Through "regional spatial innovation," balanced development of Seoul will begin. The northwest area will see the creation of a World Cup Park scenic forest, and the northeast area will become a cultural and future industry cluster with the opening of the Eoullim Sports Center and Photo Art Museum. Construction of the Nodeul Global Art Island's waterfront and base sections will be completed.
The Dawn Companion autonomous bus (4.1 billion won) will expand from the existing one route to three more routes. Autonomous village buses will also be newly introduced in three autonomous districts. The introduction of transportation means suited to local conditions, such as inclined elevators, will be expanded to guarantee mobility rights for marginalized areas and transportation-vulnerable groups.
In addition, to mark the 80th anniversary of Liberation Day next year, support for patriotic martyrs and merit recipients who devoted themselves to the country will be expanded. A total of 104.7 billion won will be spent on this alone. The honor allowance for veterans and the veterans' welfare allowance have each been increased by 50,000 won per month, and the living assistance allowance, previously for those aged 65 and over, will be expanded to all ages. Mayor Oh stated, "In the face of the climate crisis and complex social changes, 'citizens' health and safe daily life' is the most important responsibility of the Mayor of Seoul," and added, "The 2025 budget will not be wasted in protecting citizens' health and safety and preparing Seoul's future."
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