South Korea launches cash handouts to 'stimulate domestic consumption'

ISTANBUL

South Korea on Monday launched cash handouts as part of a government initiative to stimulate domestic consumption.

All South Korean citizens, including eligible foreign nationals, began receiving a payment of 150,000 won ($108) in cash handouts called "consumption coupons," Yonhap News reported.

This is part of President Lee Jae Myung administration’s $23.3 billion supplementary budget, which also wipes off the debt of 1.23 million small businesses.

All South Korean citizens residing in the country as of June 18 will receive a one-time payment of 150,000 won ($108), with additional assistance to be provided based on income levels.

The vouchers will remain valid through the end of November.

Lee, who was elected last month, has prioritized the livelihood of the people as South Korea battles pressure from unilateral tariffs by the US as well as the disruption of investor confidence after a failed martial law bid last December.

The latest surveys showed Lee's popularity receding to 62.2%, the first since his election on June 3. Pollsters seemed unhappy with controversies around Lee’s ministerial nominees.