South Korea's Ministry of Economy and Finance, jointly with other ministries, published the government’s 2026 Lunar New Year livelihood stability measures, aimed at containing holiday-related price pressures and easing household and small business burdens while supporting domestic demand and public safety. The package is framed against an expected 2.1% consumer inflation rate in 2026 but continued volatility in food and other living costs. Key measures include supplying a record 270,000 tons of 16 holiday-season staples, holding off on market isolation for 100,000 tons of rice, and bringing 2.24 million imported fresh eggs to market ahead of the holiday. Government discount support totals KRW 91.0 billion, offering discounts of up to 50% on key items and selected gift sets, alongside expanded Onnuri gift certificate rebate events (KRW 33.0 billion, with 200 agricultural and livestock markets and 200 fisheries markets). Tariff-rate quotas are newly applied to four items including mackerel (25,000 tons through end-December) and bananas, pineapples and mangoes (through end-June), while joint public-private inspections target overcharging from 2 to 18 February and collusion probes cover sectors including sugar (deliberation scheduled in February) and flour, eggs and starch syrup (investigations to be completed by March). On the support side, the plan provides KRW 39.3 trillion in new holiday funds for small business owners and small and medium-sized enterprises and extends maturities for KRW 58 trillion of loans and guarantees, supplies KRW 1.1 trillion of microfinance from 17 January to 17 March, accelerates KRW 1.6 trillion of welfare payments across 28 programmes to 13 February, and shortens processing for substitute payments for unpaid wages from 14 to 7 days. Further steps flagged include comprehensive measures to eradicate overcharging in the first quarter, a separate announcement of detailed Lunar New Year holiday safety management measures in early February, and an implementation plan in March for a national integrated consumption festival referred to as the Korea Grand Festival.
Ministry of Economy & Finance (South Korea) 2026-01-28
South Korea's Ministry of Economy and Finance announces 2026 Lunar New Year livelihood stability package with a 270,000-ton supply push and KRW 39.3 trillion in holiday funding
South Korea's Ministry of Economy and Finance, with other ministries, announced 2026 Lunar New Year measures to curb holiday price pressures and support households and small businesses amid expected 2.1% inflation. Key actions include supplying 270,000 tons of staples, KRW 91.0 billion in discounts, tariff-rate quotas on select imports, and KRW 39.3 trillion in new funds for small businesses, alongside measures to prevent overcharging and ensure safety.