Yeonggwang County's Livelihood Economic Recovery Grant Shows Significant Economic Revitalization Effects

48% of the Fund Utilized Locally, Boosting Domestic Demand

Exterior view of Yeonggwang County Office.

The Livelihood Economic Recovery Support Fund promoted by Yeonggwang-gun, Jeollanam-do ahead of the Lunar New Year holiday has been analyzed to have a positive effect on revitalizing the local economy.

In particular, it was found to be significantly helpful to local small business owners struggling due to the economic downturn.

According to the county on the 11th, the application rate for the Livelihood Economic Recovery Support Fund, which began on the 13th of last month, exceeded 95% as of the 7th. Specifically, 24.8 billion KRW was distributed to 49,672 residents, amounting to 500,000 KRW per person.

Of this, 11.9 billion KRW (48%) was spent within the county. By industry, 1.87 billion KRW was used at agricultural, livestock, and marine product processing stores, and 1.5 billion KRW at general Korean restaurants.

By annual sales range, about 5.7 billion KRW (42.9%) was spent at small businesses with annual sales of less than 300 million KRW, indicating the greatest economic ripple effect for micro-business owners.

The production inducement effect of the 11.9 billion KRW spent in the region was 20.2 billion KRW (1.8 times), and the value-added inducement effect was 9.5 billion KRW (0.8 times). The employment inducement effect was calculated at 79 people. Applying these analysis results to the total project cost of 26.1 billion KRW, the production inducement effect is estimated to reach 44.3 billion KRW, the value-added inducement effect 20.8 billion KRW, and the employment inducement effect 188 people.

County Governor Jang Seil said, "I am very pleased that residents were able to spend a warm Lunar New Year holiday thanks to the support fund distributed before the holiday, and it was effective in revitalizing local alley businesses by increasing sales for micro-business owners," and added, "For the activation of the local economy, I ask that the unused funds be spent as soon as possible."

Meanwhile, Yeonggwang-gun plans to provide an additional 500,000 KRW Livelihood Economic Recovery Support Fund to all residents ahead of this year's Chuseok holiday.