Party-Government to Set Cutoff Criteria for High-Asset Individuals in Second Round of Consumption Coupons

Special Provisions for Household Types, Targeting Bottom 90% by Income
Expansion of Eligible Merchants Considered, Including Consumer Cooperatives and Areas Near Military Bases
Local Extinction Response Fund to Shift Focus from SOC to People

The Democratic Party of Korea and the Ministry of the Interior and Safety agreed on September 2 to establish separate criteria for the second round of livelihood recovery consumption coupons by using household health insurance premiums to exclude high-asset individuals. This is intended to apply the same criteria as those used for the "COVID-19 National Relief Fund" distributed in 2021.

Yoon Konyoung, the Democratic Party secretary of the National Assembly Public Administration and Security Committee, met with reporters after the ruling party-government consultation meeting held at the National Assembly that morning and stated, "There was an in-depth discussion on the eligibility criteria for the second round of livelihood recovery consumption coupons, and there was also a heated debate between lawmakers and officials from the Ministry of the Interior and Safety regarding the Local Extinction Response Fund."

Regarding the criteria for the second round of consumption coupons, special provisions will be made to consider the characteristics of each household, such as single-person households and households with multiple sources of income, in order to select the bottom 90% by income. Assemblyman Yoon said, "At today's meeting, there were calls to ensure that single-person households are not unfairly discriminated against in terms of asset criteria compared to income criteria."

This second round of consumption coupons will also include an expansion of eligible places of use to revitalize local economies. Assemblyman Yoon explained, "For this second round, we are considering expanding the eligible places of use to consumer cooperatives, and we also reviewed ways to expand the regions where military personnel can use the coupons. For example, we are considering issuing prepaid cards that can be used in commercial districts near their duty stations."

At the meeting, strengthening the operational capacity and systems of local governments to address local extinction and reinforce local autonomy was also discussed. Assemblyman Yoon said, "Regarding the Local Extinction Response Fund, we agreed to revise the system so that the fund, which has so far focused on social overhead capital (SOC), will instead prioritize measures to increase the actual resident population, in line with the state philosophy of the Lee Jaemyung administration. The Ministry of the Interior and Safety will prepare and establish long-term measures accordingly."

Yoon Hojung, Minister of the Interior and Safety (left), and Shin Junghoon, Chairman of the Public Administration and Security Committee, shake hands at the ruling party-government consultation meeting of the Public Administration and Security Committee held at the National Assembly in Yeouido, Seoul, on September 2, 2025. Photo by Kim Hyunmin

Previously, Shin Junghoon, Chairman of the National Assembly Public Administration and Security Committee, stated in his opening remarks, "Looking back at the 30-year history of local politics, despite fiscal and authority decentralization, local regions now face a serious issue of losing sustainability, going beyond mere population decline. The livelihood consumption coupons and local love gift certificates represent a major shift in local autonomy policy."

Yoon Hojung, Minister of the Interior and Safety, also commented, "The decision has been made to distribute the second round of consumption coupons on the 12th, with distribution scheduled to begin on the 22nd. The budget for local love gift certificates secured in the second supplementary budget will also begin to be executed, so by the end of this month, local love gift certificates will be issued in each region."

When asked by reporters whether the Government Organization Act and issues such as prosecution reform were discussed, Assemblyman Yoon replied, "The Government Organization Act was not a major agenda item for the ruling party-government consultation, so it was not discussed at all. We will need to discuss this separately in the future. First, we will gather opinions within the Democratic Party on the 5th through a public discussion process, and then form a unified proposal through a high-level party-government meeting on the 7th. If necessary, we will discuss it after that."

When asked whether the drought situation in Gangneung was discussed, he replied, "There were only two agenda items today: the criteria and expansion of eligible places of use for the second round of livelihood recovery consumption coupons, and matters related to the Local Extinction Response Fund. Regarding the Gangneung drought area, the party leadership has already visited the site, and President Lee Jaemyung has also visited to prepare countermeasures."

Regarding the "basic income policy for rural and fishing communities" requested by the Democratic Party to the government, Assemblyman Yoon said, "This should be considered a long-term task. The Ministry of Agriculture, Food and Rural Affairs and the Ministry of Oceans and Fisheries are in charge, but it was pointed out that the Ministry of the Interior and Safety should take a leading role. The minister also agrees, and at the recent (National Assembly) workshop in preparation for the regular session, he expressed his intention to discuss this through inter-ministerial consultations."