Local governments facing demographic cliff are willing to accept overseas refugees

Yeongyang County in North Gyeongsang Province is working with the United Nations High Commissioner for Refugees (UNHCR) to bring in about 40 Myanmar refugees by the end of this year. The county plans to build settlement facilities on a closed school site. Yeongyang County's decision to host a refugee resettlement facility—typically considered an undesirable facility—stems from its status as the least populated inland region in the country. As of 2024, Yeongyang County has a population of 15,328, the lowest among 229 local governments in South Korea, excluding island areas. "Even an increase of 40 people is still an influx of population," a county official stated, adding that they plan to expand the intake capacity based on the results of this initiative.

Local governments facing a demographic crisis are increasingly seeking to attract facilities they previously avoided. As their populations continue to decline, it has become difficult to attract profitable facilities, and even existing ones are becoming abandoned. By bringing in such facilities, local governments hope to increase the number of residents in the area, boost the local economy, and potentially raise the number of long-term residents.

Yeongyang County announced on Monday that it is pushing forward a refugee resettlement pilot program to accommodate approximately 40 Myanmar refugees and provide them with housing, education, and employment support. In Myanmar, a military coup in February 2021 resulted in prolonged political instability and civil war, forcing millions of people to flee the country. Most refugees escaped to neighboring countries, where they are struggling with extreme poverty. In response, the UNHCR is working to facilitate their stable resettlement in other countries.

Besides Yeongyang County, other areas facing population decline are also competing to host undesirable facilities such as prisons, crematoriums, and waste incineration plants. Cheongsong County in North Gyeongsang Province is currently trying to persuade the Ministry of Justice to establish a women's prison there. As these facilities come with financial support and resident amenities, competition between local governments to attract them has intensified. Yeongcheon City, Sangju City, and Gunwi County in Daegu are vying to host a military base scheduled to be relocated from the center of Daegu. Meanwhile, in Geochang County, South Gyeongsang Province, nine villages competed to secure a crematorium.

From the government's perspective, this arrangement is seen as a "win-win" since it enables the construction of necessary facilities without social conflict while providing local governments with population growth and various incentives. However, some experts warn that careful consideration is needed. "It is essential to ensure sufficient consensus among residents before hosting such facilities, and continuous monitoring of residents' and facility-related feedback is necessary even after construction," Hong Joon-hyung, a professor at Seoul National University's Graduate School of Public Administration, emphasized. "For residents to feel they are benefiting, ongoing management is crucial. The government should not leave this entirely to local governments but should participate in the coordination process and provide incentives related to such facilities."


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