Suncheon -si, Jeonnam (mayor Roh Kwan -gyu) has prepared various support measures for small businesses and residents who’re battling the recession.
Particularly, the corporate is expanding its feelings by issuing the ‘Suncheon Love Gift Certificate’ price 150 billion won, the most important within the province, and promoting a 300,000 won support project for small business owners.
Nonetheless, some indicate that it’s essential to research whether this policy can result in an actual economic recovery.
Suncheon Love Gift Certificate 150 billion won… What’s the effect of revitalizing the local economy?
Suncheon City sells Suncheon Love Gift Certificates at a 15% discount during January -February to advertise consumption within the region.
The project is anticipated to function a gathering for the recovery of small business owners who’re struggling because of the economic downturn.
In reality, Suncheon City sells a complete of fifty.2 billion won of gift certificates by ninth, showing a high exhaustion rate. Nonetheless, it just isn’t clear whether local currency can actually result in a rise in sales of small business owners.
In keeping with the case of other local governments, 31.7%of the users increased consumption in Daejeon Metropolitan City, and the rise in consumption within the region was 16.8%.
Some studies, alternatively, indicate that local currency issuance may focus only on certain industries, or that the actual sales increase is more likely to increase.
It’s essential to fastidiously review whether Suncheon Love Gift Certificates can turn out to be a policy of making a virtuous cycle of consumption within the region beyond easy discounts.
Small business public rate support… Is it possible to truly mitigate the burden?
Suncheon City supports 300,000 won for small business owners with annual sales of lower than 140 million won and small business owners with lower than 5 regular staff.
This can be a support for Jeonnam -do level, and it’s essential to research the effectiveness in comparison with the national economic recovery effect because it just isn’t a solo policy of Suncheon.
The issue is the goal and amount. As the present support conditions are limited to small business owners below a certain sales, many small businesses who have to be supported could also be excluded from the goal.
Additionally it is questioned that the quantity is enough to truly reduce the management burden.
Although small business support measures are being implemented nationwide, there may be a limit that’s difficult to guide to the elemental small business competitiveness if the general public rate support is just short -term money support.
Short -term support vs. Sustainable Policy… Suncheon City Support Measures, what might be supplemented?
To be able to ease the burden of small business owners, Suncheon City is taking various measures akin to ▲ financial support of 15 billion won ▲ employment insurance premiums for one -person business owners ▲ paying for yellow umbrella deductions ▲ expanding incentives for good price businesses ▲ support for installing digital devices.
But is it the very best strategy to support money?
Some economic experts stress that “a policy is required to strengthen long -term competitiveness relatively than simply subsidies.”
As a complementary measure, there may be a plan to expand the goal in order that more small business owners can profit.
An official from Suncheon City said, “We are going to increase the actual effect by constantly improving policy and gathering opinions on small businesses to revive the civil economy.”
Nonetheless, there may be a growing voice that “sustainable measures needs to be combined together to enhance fundamental economic structure, not short -term support measures.”
It’s essential to proceed monitoring whether this support plan in Suncheon could make an actual change within the local economy or will only be short -term support.
By Yang Joon -seok, reporter kailas21@aitimes.com
