Market Update: We break down the business implications, market impact, and expert insights related to Market Update: Gov’t to draft extra budget using excess tax revenue: Budget Ministry – Full Analysis.
Published: 13 Mar. 2026, 14:01
Cars line up outside a gas station in Nowon, northern Seoul, on March 12. [YONHAP]
The government said Friday it plans to swiftly draw up a supplementary budget using excess tax revenue, without issuing additional state bonds, to help ease livelihood burdens stemming from the impact of the Middle East conflict.
Acting Budget Minister Lim Ki-geun made the remarks during a vice-ministerial interagency meeting, according to the Ministry of Planning and Budget, one day after President Lee Jae Myung ordered prompt preparations for an extra budget to cope with the fallout from the ongoing regional conflict.
“The supplementary budget will be drawn up using expected excess tax revenue without issuing additional government bonds to minimize its impact on the government bond and foreign exchange markets,” Lim said. “We will immediately begin preparations and submit a proposal to the National Assembly at the earliest possible date.”
The extra budget is expected to focus on easing logistics and fuel cost burdens amid surging global oil prices, supporting livelihoods for low-income households, small merchants and farmers, and helping exporters affected by external shocks.
The ministry also plans to closely communicate with state-run research institutes and other experts who have called for additional fiscal spending to review effective support measures.
Yonhap