In a bid to revitalize domestic tourism and support local businesses, the South Korean government, along with the ruling People Power Party (PPP), has announced several initiatives ahead of the upcoming Lunar New Year holiday.
One key initiative includes offering significant discounts on high-speed rail services. Travelers from the provinces heading to the Seoul Metropolitan area will receive up to 40% off KTX and SRT ticket prices. These discounts are designed to encourage domestic travel during the peak holiday period from January 27 to 31.
Additionally, the government is set to provide 400,000 won (approximately $274) in domestic travel subsidies to 150,000 employees working in small and medium-sized companies. These measures are part of a broader strategy aimed at stimulating domestic spending amid ongoing economic challenges.
“The goal is to boost local tourism during the Lunar New Year and ensure smooth travel for people visiting their hometowns,” stated a representative from the PPP. The initiative also includes enhanced transportation services, such as additional parking spaces at local government buildings and public institutions. Historical sites, including palaces and tombs, will be open to the public free of charge, and various cultural events will be held across the country.
Despite the optimism from officials, some in the tourism industry are cautiously hopeful. One anonymous industry expert remarked that the political climate and ongoing economic concerns have dampened consumer sentiment towards both domestic and international travel. “While these measures may ease some of the immediate financial burdens, the true test will be whether they can fundamentally revive domestic tourism amid the current political instability,” the source noted.
In addition to tourism efforts, the government is focusing on stabilizing food prices, which traditionally surge in the lead-up to the holiday. The PPP and government have agreed to increase the supply of essential foodstuffs by 1.5 times the usual amount to meet the holiday demand for vegetables, fruits, eggs, and other staple foods.
“Prices for key holiday foods have risen significantly, with radishes up 84%, cabbages up 64%, and pears up 25% compared to last year,” said PPP Floor Leader Rep. Kweon Seong-dong. He emphasized the need for increased policy loans to support both consumers and suppliers during the holiday rush.
To stabilize the market, Agriculture Minister Song Mi-ryung revealed plans to boost the supply of Lunar New Year products by 60%. Additionally, the ministry will introduce the largest-ever discount on agricultural products. “We are focusing on government stockpiles and contracted cultivation to ensure there is enough supply,” Song said.
The government is also working to support small businesses with the issuance of 5.5 trillion won in “Onnuri” gift certificates, which can be redeemed at traditional markets, and plans to release a significant amount of policy loans to alleviate financial pressures on small business owners.
Minister of Maritime Affairs and Fisheries, Kang Do-hyung, promised measures to stabilize prices of marine products, including expanded supplies and additional discounts.
As South Korea prepares for one of its most important holidays, these coordinated efforts aim to ease the economic strain on citizens and boost the local economy through tourism and consumption.
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