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South Korea's disposable income to household debt ratio surpassed 200 percent for the first time last year amid the prolonged COVID-19 pandemic.
The office of minor Justice Party Rep. Jang Hye-young, citing Bank of Korea(BOK) data on Friday, said the disposable income to household debt ratio, which shows households' debt repayment ability, stood at 200-point-seven percent last year.
The ratio, which stood at 152-point-nine percent in 2011, steadily increased, jumping by a decade-high of 12-point-five percentage points between 2019 and 2020.
Jang emphasized that total household debt surged nine-point-two percent on-year in 2020, while income only increased two-point-three percent during the same period.
The minor party lawmaker urged the government not to ease regulations on loans, but offer financial aid through expansionary fiscal policies.