DP urges finance minister to make 'bold decision' on virus handouts amid policy disagreement

Politics 16:27 February 05, 2021

SEOUL, Feb. 5 (Yonhap) -- The ruling Democratic Party (DP) on Friday pressed Finance Minister Hong Nam-ki to make a "bold decision" in providing a new round of COVID-19 relief payments amid an ongoing policy disagreement between the party and the ministry.

"(The government) should further intensify its fiscal role so that it safeguards the lives of the people and the economy with a desperate attitude that befits a crisis situation," DP floor leader Rep. Kim Tae-nyeon said in a party leadership meeting.

The comments were directed at Hong, who has openly raised concerns about the DP's initiative to include both targeted and universal relief programs in the country's fourth round of COVID-19 emergency handouts.

Hong has suggested that it would be difficult for state coffers to handle both the universal and selective assistance at the same time. According to DP insiders, an extra budget of up to 20 trillion won (US$17.8 billion) to 30 trillion won may be needed for the two-pronged assistance plan.

"The COVID-19 crisis cannot be countered with the means and standards of the past," Kim said, adding that Hong and the ministry needed "a change of mindset and to make a bold decision."

Rep. Kim Jong-min, a member of the DP's supreme council, described the finance ministry's stance as reflecting a self-righteous attitude and argued that such unilateral and definitive stance goes against the principle of the Constitution in setting government budgets.

Kim added that it was important for finance authorities to avoid falling into the trap of self-conviction, or the belief that their decisions alone were the only correct judgments.