2021 Budget
558.0 Trillion Won Budget Passed
The Budget
The National Assembly passed the 2021 budget at a plenary session on December 2. The 558.0 trillion won budget passed exceeds the 555.8 trillion won government proposal by 2.2 trillion won. The budget expands COVID-19 support and other supports for national priorities by 7.5 trillion won, while cutting 5.3 trillion won in other areas.
The 2021 revenues are also adjusted slightly from 483.0 trillion won to 482.6 trillion won, down 400 billion won.
Fiscal Situation with 2021 Budget Approved
(trillion won, %, %p)
|
|
2020
|
2021
|
Change
|
|
Original budget (A)
|
Supplementary budget
|
Government proposal (B)
|
Budget approved (C)
|
C-B
|
C-A
|
C-A (%)
|
|
Total revenues
|
481.8
|
470.7
|
483.0
|
482.6
|
-0.4
|
0.8
|
0.2
|
|
Total expenditures
|
512.3
|
554.7
|
555.8
|
558.0
|
2.2
|
45.7
|
8.9
|
|
Consolidated fiscal balance
(% to GDP)
|
-30.5
(-1.5)
|
-84.0
(-4.4)
|
-72.8
(-3.6)
|
-75.4
(-3.7)
|
-2.6
(-0.1%p)
|
-44.9
(-2.2%p)
|
-
|
|
National debt
(% to GDP)
|
805.2
(39.8)
|
846.9
(43.9)
|
952.5
(47.1)
|
956.0
(47.3)
|
3.5
(0.2%p)
|
150.8
(7.5%p)
|
-
|
Increased Expenditure on National Priorities
The 7.5 trillion won budget increase will be used to finance COVID-19 support and other national priorities, such as pursuing carbon neutrality.
Plans for 7.5 trillion won spending
|
1) COVID-19 support
|
3.0 trillion won
|
|
2) Virus control
- Vaccination: Spending on virus shots for 44 million citizens
- Disease control: Add one more COVID-19 hospital
- Public healthcare: Improve public healthcare capabilities
|
1.0 trillion won
|
|
3) Housing for low income households
- Increase rental homes
|
0.7 trillion won
|
|
4) Work towards net-zero in 2050
- Pursue a low-carbon economy
- Work on renewable energy transition
|
0.3 trillion won
|
|
5) Increase daycare support
|
0.3 trillion won
|
|
6) Improve essential worker welfare and promote job retention
|
0.3 trillion won
|
|
7) Increase support for child abuse survivors, single-parent households, physically challenged and veterans
|
0.1 trillion won
|
|
8) Promote local economies and SMEs
- Promote regulation-free zones and local tourism
- Improve access to rural areas via public transportation
- Provide SMEs with emergency loans and guarantees, as well as marketing support
|
0.2 trillion won
|
|
9) Increase farmer support
|
0.2 trillion won
|
|
10) Invest in SOC, R&D, current issues and others
|
1.4 trillion won
|
|
Total
|
7.5 trillion won
|
Please refer to the attached pdf
