The government is exploring additional support measures, including expanding discounts on agricultural, livestock, and fishery products for Chuseok, to alleviate the burden on citizens due to the ongoing conflict in the Middle East. It plans to expedite support for youth employment and vulnerable borrowers while addressing concerns over crude oil and naphtha supply and financial market instability.
Heo Jang, the Second Vice Minister of Finance, convened an emergency economic meeting at the Government Seoul Building on September 3 to review the progress of five response teams focusing on macroeconomics, prices, energy supply, financial stability, and welfare management.
Heo stated, "The uncertainty surrounding the Middle East conflict continues due to the resumption of military clashes between the U.S. and Iran. It is essential for each response team to maintain high alertness and closely monitor and respond to the situation and its impacts across various sectors."
As part of its Chuseok livelihood stability measures, the government is implementing a record 103 billion won in discounts on agricultural, livestock, and fishery products, along with a supply of 183,000 tons of essential goods. It is also actively considering additional measures to further ease the burden on citizens.
The government is accelerating the implementation of previously announced plans to restore youth employment and support vulnerable borrowers amid the ongoing repercussions of the Middle East conflict.
In the energy sector, the government has confirmed that it has secured crude oil and naphtha supplies for September and October at approximately 90% of last year's average levels. To address supply gaps caused by rerouted shipping routes, it resumed supply support using strategic reserves on August 24.
For financial market stability, as of September 1, the government has disbursed 18.7 trillion won through policy finance support programs and 10.5 trillion won through bond and money market stabilization programs.
In the welfare sector, the government is conducting a survey to identify and provide tailored support to 160,000 individuals, including those in financial distress. This survey began on August 24 and will continue until October 16.
The government will also continue to monitor U.S. sanctions against Iran and trends in energy supply and logistics. Relevant ministries are focused on minimizing the impact of Middle East risks on the domestic real economy and financial markets while keeping an eye on the supply and price fluctuations of key raw materials.
* This article has been translated by AI.
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