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President Lee Jae-myung speaks during a Cabinet meeting at the presidential office in Yongsan, Seoul, on July 22. During the meeting, he ordered ministries to simultaneously implement consumer stimulus programs and manage inflation. / Source: Yonhap News

President Lee Jae-myung on July 22 called on government ministries to implement consumer stimulus programs and strengthen price controls simultaneously, as the nationwide rollout of “Livelihood Recovery Consumption Coupons” raises both hopes for economic revitalization and concerns over inflation.

At a Cabinet meeting held at the presidential office in Yongsan, Seoul, President Lee emphasized the importance of the coupons, which amount to 13 trillion won in total, noting that while they provide income support, their main goal is to encourage consumer spending.

“Ministries are well aware of the intent behind these coupons. In addition to income support, their core purpose is to revive consumption,” Lee said. “Each ministry should prepare additional programs to further stimulate spending.”

Acknowledging the inflationary risks, Lee added, “Even when the coupons weren’t being distributed, prices kept rising for all sorts of reasons. Now that they are, the pressure could grow. I urge swift and firm price management.”

Recent food price hikes, driven by heavy rains and heatwaves, have already drawn concern. According to the Korea Agro-Fisheries & Food Trade Corporation, the retail price of a watermelon soared 48.6% over the past month to 31,374 won as of July 21. The Bank of Korea also reported that the producer price index for June climbed to 119.77, reversing a three-month downward trend.

“I’ve seen comments online like, ‘Now I can finally buy a watermelon,’ or ‘I’ll get some meat for the kids,’” Lee noted. “Some might scoff, but this reflects the reality of many ordinary Koreans. We must remember how many people are still struggling.”

President Lee also ordered government agencies to prevent any technical or administrative issues during the coupon distribution.

“We must ensure no one is left out of eligibility, and that blind spots are minimized. Please encourage local governments to step up,” he said. “Since most applications are digital, make sure no one is excluded or left behind because of the system. Mobilize the full capacity of our administration.”

The Cabinet meeting also marked the first for several newly appointed ministers.

Deputy Prime Minister and Finance Minister Koo Yoon-cheol commented, “Our economy is facing serious challenges. In the short term, we must support livelihoods and respond to tariff negotiations with the U.S., while in the long term, we must build real growth.”

Minister of Trade, Industry and Energy Kim Jeong-gwan added, “With such grave internal and external conditions, I feel a heavy responsibility as the minister overseeing the real economy.”

According to presidential spokesperson Kang Yoo-jung, President Lee expressed his appreciation to outgoing Cabinet members, saying, “Thank you for faithfully carrying out your duties as public servants. I hope that transitions in office can be a source of pride following a change in government.” To the new members, he reminded, “While the legislature’s role is to monitor and check, the executive branch must focus on execution. Our performance will be judged at the end of the term, when the people can truly say their lives have improved.”