The government is planning to focus on boosting domestic demand in the first half of the year amid deflationary pressures.<br />One of the ways it plans to achieve that goal is to inject 9 billion U.S. dollars into the economy.<br />Shin Se-min has the details. <br />The government will spend the money in its economic revitalization fund earmarked for the entire year,... or roughly 9 billion U.S. dollars,... in the first half of the year.<br />The decision comes amid a growing urgency to help lift the economy out of the doldrums. <br />The money is from the 41-billion-dollar revitalization fund set up by the finance ministry last year, according to the ministry official.<br />The nation's economic outlook is still foggy.<br />The latest corporate sentiment index hit a six-month low last month,... as local companies are anxious about the unfavorable business conditions.<br />And the consumer sentiment index?<br />It's still lower than the level recorded last May,... right after a drop in consumer sentiment following the Sewol-ho ferry disaster in April.<br /><br />The state-run Korea Institute of Public Finance says that allocating a larger chunk of the fund in the first half of the year will help grow the economy by point-2-3 percentage points as opposed to disbursing it evenly throughout the year. <br />With the move, the government hopes to garner investment, create more jobs and stimulate domestic spending,... to prevent the economy from falling into a deflationary period. <br />The government also said that it aims to carry out structural reforms,... while pressing large conglomerates to raise the minimum wage... to revive the economy.<br />Finance Minister Choi Kyung-hwan has repeatedly emphasized the need to raise the minimum wage.<br />But not everyone seems to agree,... as Samsung Electronics,... considered a key player in corporate Korea,... has recently decided to freeze its wages.<br />Shin Se-min, Arirang News.
