Gyeonggi Province Allocates 419 Billion Won for Third Disaster Basic Income in 2021 Third Supplementary Budget of 37.5 Trillion Won

[Suwon Ilbo=Reporter Park No-hoon] Gyeonggi Province has formulated a 2021 third supplementary budget totaling 37.5025 trillion won.

The province prioritized the distribution of co-prosperity support funds to all residents by linking and expanding government policies and strengthening regional economic capabilities to overcome the COVID-19 crisis.

Choi Won-yong, director of the Planning and Coordination Office of Gyeonggi Province, held a press conference at the Gyeonggi Province Government Building on Aug. 19 and stated, "We will submit the 2021 third supplementary budget plan focusing on distribution of co-prosperity support funds to all residents to stabilize livelihoods, strengthening regional economic capacity, and reinforcing infrastructure in road and river sectors to the Gyeonggi Provincial Assembly on Aug. 20."

The third supplementary budget increased by 5.0401 trillion won (15.5%) from the second supplementary budget of 32.4624 trillion won to 37.5025 trillion won, with general accounts increasing by 4.9881 trillion won and special accounts by 52 billion won.

For general accounts, funding was secured using 1.7 trillion won in excess revenues for 2021, 2.9378 trillion won in national treasury subsidies, and 220.5 billion won in provincial fund returns from expenditure structure adjustments and the closure of 2020 fiscal year accounts.

First, the province allocated 2.664 trillion won in budget for seamless implementation of the government's co-prosperity national support funds and 419 billion won in budget to additionally provide "third disaster basic income" as part of complementing and expanding government policies.

The third disaster basic income will be distributed to all residents, including those excluded from government co-prosperity national support fund recipients, at 250,000 won per person in local currency to ensure the rationale of universal distribution and secure economic effects such as consumption promotion.

Second, 175.2 billion won was allocated for projects strengthening regional economic capabilities, including regional economic revitalization and job creation to overcome the COVID-19 crisis.

Major projects include ▲61.1 billion won for expansion support of local currency issuance to boost consumer sentiment ▲37 billion won for support to the bus industry facing management crisis due to the continued COVID-19 situation, as well as small and medium-sized enterprises and small business owners ▲56.9 billion won for job-related project expenses including hope labor projects and employment stability reflected in the government supplementary budget.

Third, the province will invest a total of 99.2 billion won to strengthen infrastructure in road and river sectors.

Specifically, ▲86.4 billion won for major road construction and expansion works including provincial road construction to secure national treasury funds early ▲6.6 billion won for local river improvement projects to prevent disasters and damages such as flooding were additionally reflected.

In particular, 52% (44.7 billion won) of the road construction and expansion project budget will be concentrated in northeastern Gyeonggi Province, an area facing inconvenience due to poor public transportation networks and underdeveloped road conditions, which is expected to greatly help improve traffic conditions in the region.

The third supplementary budget plan is scheduled to be reviewed at the Gyeonggi Provincial Assembly's 354th extraordinary session held from Aug. 31 through Sept. 15.