In a sweeping effort to boost domestic consumption and jumpstart an economy teetering on the brink of stagnation, South Korea is rolling out a major cash handout program, with payments scheduled to begin later this month. The program, unveiled by the Ministry of the Interior and Safety and reported by the Korea Herald, is part of a larger 31.8 trillion-won ($23.3 billion) supplementary budget passed by the National Assembly on July 4. It is the first major economic initiative spearheaded by the newly elected President Lee Jae-myung following months of political turbulence and economic underperformance.

At the core of the initiative is a one-time payment of 150,000 won (approximately $110) for every citizen residing in South Korea as of June 18, 2025. These payments, framed as “consumption coupons,” aim to directly encourage spending by putting cash into the hands of ordinary consumers. Disbursements will be delivered via digital means-credit and debit card credits, prepaid cards, and municipal gift certificates-allowing citizens to use the funds quickly and conveniently.

Vice Interior Minister Kim Min-jae, who heads the interagency task force overseeing the rollout, emphasized the urgency and strategic importance of the initiative. “We will ensure thorough preparations for the rollout of these payments so that they can serve as a catalyst for economic recovery by boosting consumption and supporting those in need,” Kim said in a televised statement.

The government has also tailored portions of the package to address inequality and poverty. Near-poverty households and single-parent families will........

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