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Acting President Han to implement budget on New Year's Day

Published: 17 Dec. 2024, 19:02 Updated: 17 Dec. 2024, 19:03

MICHAEL LEE
[email protected]

Acting President Han Duck-soo, fourth from right, speaks during a Cabinet meeting held at the government complex in Jongno District, central Seoul, on Dec. 17. [JOINT PRESS CORPS]

Acting President Han Duck-soo said Tuesday the government plans to begin implementing next year's budget on Jan. 1 to bring stability to the economy amid turmoil at home and abroad.

Han called for the swift allocation of the budget at the first regular meeting of the Cabinet since President Yoon Suk Yeol’s impeachment on Saturday.

“I urge fiscal authorities to finalize allocating next year’s budget so that it can be implemented on the first day of 2025,” Han said during the meeting held at the government complex in Jongno District, central Seoul.

Han also ordered government agencies to “devote all their efforts” to stimulating the economy to “boost cutting-edge industries” and provide relief to the socially disadvantaged and small businesses.

The acting president noted that “companies that need to draw up plans for their investments next year have many concerns” amid the country’s instability and called on relevant ministries to “pay special attention to announcing consistent and effective policies before the end of the year.”

Han singled out pending legislation concerning semiconductor chips, artificial intelligence and electric utilities as bills where the government needs to pursue “active cooperation” with the National Assembly to ensure their “swift passage.”

Han also noted that small business owners and self-employed people are still struggling with low demand despite signs of recovery in the financial markets.

He pledged to prioritize the government’s efforts to improve livelihoods and called on ministers to not only “exercise all of their powers to tackle various issues” but also to “undertake year-end activities that encourage people in their places of work, especially those who are socially vulnerable.”

Han further requested that government officials seek out smaller businesses for their holiday gatherings to “foster an uplifting atmosphere” on the streets.

The acting president said the government intends to stabilize state affairs as soon as possible in accordance with the Constitution and in cooperation with the country’s main political parties.

A Cabinet meeting takes place at the government complex in Jongno District, central Seoul, on Dec. 17. [JOINT PRESS CORPS]

At Tuesday’s meeting, the Cabinet approved a plan that will allocate three-quarters of next year’s budget to spending in the first half of 2025 to provide greater support to vulnerable groups.

According to the Finance Ministry, the government plans to spend 431.1 trillion won ($300.2 billion) from next year’s total fiscal budget of 574.8 trillion won from January to June.

The ministry said the spending will primarily focus on assisting low-income individuals, small business owners, self-employed people and other vulnerable groups.

Following Tuesday’s Cabinet meeting, Finance Minister Choi Sang-mok announced he intends to step down after he fulfills his duties.

The finance minister did not specify a time frame for his resignation, but said he would “not try hard to stay in my position.”

“Once I have fulfilled my responsibility to stabilize the economy, I will step down from my post,” he said.

BY MICHAEL LEE [[email protected]]