Gov’t to resume issuing coupons to promote consumption

As the South Korean government is set to implement phased transition to ‘With Corona,’ it has decided to resume issuing coupons to promote consumption, which has been suspended temporarily. The government will likely circulate consumption coupons worth 250 billion won (about 211 million U.S. dollars) going forward.

“As vaccination has picked up speed in recent weeks, we will achieve the milestone of fully vaccinating 70 percent of the population within October,” said Lee Eok-won, first vice minister of economy and finance, Friday. He made the remarks as he presided over a meeting to review strategy for innovative growth, which took place at the Government Complex Seoul on the day. “To help ensure that ‘With Corona’ will bring about recovery of people’s economic livelihood and weak industrial sectors, we will consider resuming the implementation of policies including issuance of consumption coupons, which has been suspended thus far, in consultation with the quarantine authority,” he said.

The government said it will push to implement projects to issue consumption coupons and vouchers for six sectors including professional sports, movies, railroad and bus travel coupons by taking into consideration quarantine situations while announcing the direction of its economic policy. The measure calls for giving a discount of 6,000 won (5 dollars) to consumers who purchase a movie thicket or a 50-percent discount to those who buy tickets for railroad and bus travels. The government originally planned to start issuing consumption coupons in the dining, sports, movies, exhibition, and professional sports when the vaccination rate hit 50 percent, and giving away consumption coupons in the lodging and tourism sectors when the vaccination rate hit 70 percent. However, as the quarantine situation deteriorated due to the four wave of the Covid-19 pandemic, it provided consumption coupons only in certain sectors including delivered foods and agriculture and livestock products.

The government plans to issue consumption coupons worth 250 billion won, which are scheduled to be issued through the end of the year.


Ae-Jin Ju jaj@donga.com