Korea to dole out compensation to 3.71 mln pandemic-hit merchants

A merchant displays clothes at a store in Seoul, May 29. The government plans to provide cash handouts to 3.71 million small merchants in the latest move to support struggling small businesses. Yonhap

The government plans to provide cash handouts to 3.71 million small merchants in the latest move to support struggling small businesses hit hard by the COVID-19 pandemic.

On Sunday, the National Assembly passed a 62 trillion-won ($49.4 billion) extra budget bill, under which the merchants and micro business owners will be eligible for cash handouts of between 6 million won and 10 million won each.

Business establishments in some 50 fields that have seen annual sales decline by over 40 percent on average due to the government's social distancing mandates, such as the tourism and concert industries, are eligible to receive at least 7 million won each.

Cash handouts are expected to begin later in the day, according to the Ministry of SMEs and Startups. (Yonhap)