The government has decided to submit the 2022 budget to the National Assembly at 604.4 trillion won, an 8.3% increase from this year's 558 trillion won.

Although the growth rate of total expenditure is lower than this year's main budget growth rate of 8.9%, it is still higher than the growth rate of total revenue of 6.7%.

The decisive reason why the government has chosen a significant expansion of the budget for next year is because of the 4th corona virus that still does not subside and the deepening polarization.

A total of 83.5 trillion won will be invested in next year's budget to respond to polarization.

By investing KRW 31 trillion, we will create 2.11 million jobs and implement a pilot Korean-style sickness and sickness allowance that provides 60% of the minimum wage in case of illness or injury.

A total of 5.8 trillion won was prepared for the quarantine budget, including 1.8 trillion won as a loss compensation budget for small business owners who received business restrictions and bans, and 2.6 trillion won for next year's 90 million doses of vaccine.

To realize half-price tuition, 23.5 trillion won will be invested in policies to support the youth, such as expanding national scholarships and providing monthly rent support for low-income youth.

Accordingly, the budget for health, welfare, and employment next year will reach 216.7 trillion won, exceeding 200 trillion won for the first time.

A total of 33.7 trillion won is invested in the Korean version of the New Deal, including an investment of 12 trillion won to promote carbon neutrality.

The Moon Jae-in government continued its expansionary fiscal stance, recording an increase rate of over 8% for four consecutive years after recording a 7.1% increase in total expenditure in the main budget in 2018, the first year of budget formation.

Total spending increased from 40.05 trillion won in 2017 to over 200 trillion won in five years.

“As in the case of the IMF financial crisis, we will create a virtuous cycle of finance that will restore the economy through expansionary finances to increase tax revenue and restore soundness,” said Choi Sang-dae, head of the budget department at the Ministry of Finance.

(Photo = Yonhap News)