S.Korea unveils 17 bln USD relief package for microbusiness owners hit by COVID-19

SEOUL - South Korea on Tuesday unveiled the fourth round of relief package worth 19.5 trillion won (17.3 billion US dollars) to financially support millions of microbusiness owners hit by the COVID-19 pandemic.

To fund the aid package, the government proposed a supplementary budget worth 15 trillion won (13.3 billion US dollars), according to the Ministry of Economy and Finance.

The extra budget bill, or the country's third-largest ever, will be submitted to the parliament Thursday for approval. The ministry plans to sell 9.9 trillion won (8.8 billion US dollars) in state bonds for the financing.

Under the relief package, 6.7 trillion won (6 billion US dollars) will be spent to provide relief grants worth between 1 million won (890 US dollars) and 5 million won (4,400 US dollars) to some 3.85 million owners of microbusinesses.

The number of recipients is 1.05 million higher than recipients under the third round of relief package. The maximum amount of grants is 2 million won (1,780 US dollars) larger than the previous one.

Mom and pop stores suffered from the prolonged business slump as some businesses were restricted or suspended under the government's tightened quarantine measures.

Emergency relief checks will be offered to about 800,000 people vulnerable to job loss, including company-owned taxi drivers and freelancers, and also to around 800,000 households in the marginalized working poor bracket.

Some 2.8 trillion won (2.5 billion US dollars) will be earmarked to help businesses retain the workforce, while 4.1 trillion won (3.6 billion US dollars) will be set aside for quarantine efforts, such as the purchase of COVID-19 vaccines.

The country launched its mass COVID-19 vaccinations on Feb 26, aiming to achieve herd immunity no later than November.