South Korea on Tuesday reached a bipartisan agreement to scale up next year’s record-sized 556 trillion won ($502 billion) budget by another 2 trillion won to finance a third Covid-19 relief funding.
[Graphics by Song Ji-yoon]
The legislative’s raise in the government-proposed budget would be the first in a decade.
Ruling Democratic Party and main opposition People Power Party reached a last-minute agreement on a 558 trillion won package for next year’s budget, a day before the deadline.
The two parties announced Tuesday that they agreed to increase 7.5 trillion won and cut 5.3 trillion won from the government’s original budget plan, leading to a 2.2 trillion won in net growth from the previously planned 556 trillion won.
It is for the first time in six years for the rival parties to pass the budgetary bill by the Dec. 2 deadline.
The additional 2.2 trillion won will be supplemented through government bond issues but detailed plan has not been determined yet.
The two parties agreed to allocate 3 trillion won for the third round of Covid-19 relief package and 900 billion won to support Covid-19 vaccine development.
A Democratic Party lawmaker Park Hong-keun and People Power Party lawmaker Choo Kyung-ho, both members of the National Assembly Special Committee on Budget and Accounts, said during the press briefing that they will pass the budget bill at the plenary session to be held at 2 p.m. on Wednesday
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