The rural basic income policy in Korea aims to revitalize agricultural and fishing communities by providing residents with a monthly income. This initiative is designed to promote local consumption and strengthen the self-sufficiency of regional economies. The basic income is distributed as a card-type local gift certificate, known as ‘Chak Card,’ which can only be used within designated areas. The policy responds to concerns about population decline and economic stagnation in rural regions, seeking to create a sustainable cycle of consumption and production.
Residents in Namhae and nine other counties are directly impacted, receiving 150,000 KRW each month in local gift certificates. Local businesses, such as restaurants and food markets, have reported sales increases of up to 30% since the program began. The Namhae Local Food Market, which opened in April 2025, has seen daily sales more than double on days when basic income is distributed. Community projects, such as the ‘Windmill Village’ and ‘Popeye Street,’ are leveraging the basic income to expand services and attract new residents.
The pilot program is scheduled for 2026–2027 and includes Namhae, Yeoncheon, Jeongseon, Okcheon, and other counties. After 40 days of operation in Namhae, the February usage rate reached 82%, indicating rapid adoption. The local government plans to enhance the model by introducing food collection services and delivery systems to further strengthen the local food cycle. However, limitations in available spending locations and restrictions on use outside designated areas have been identified as areas for improvement.
Frequently asked questions include: Where can the basic income be used? It is restricted to local businesses within the recipient’s town or village. What are the main challenges? Some residents find limited options for spending, especially in smaller towns, and cannot use the card outside their area. How does the policy benefit communities? It encourages local consumption, supports small businesses, and fosters community-driven projects. The government is considering adjustments to address these concerns and improve accessibility.
The rural basic income pilot in Namhae is showing measurable benefits, including increased sales for local businesses and strengthened community ties. The high usage rate and expansion of community projects indicate strong local engagement. However, the program faces challenges with spending restrictions and limited options in smaller towns, which may hinder its effectiveness for some residents. Addressing these issues will be crucial for the policy’s long-term success. Overall, the pilot provides valuable insights into how targeted income support can foster sustainable rural development.