State compensation for businesses struck by COVID-19 social distancing will be limited to those that were subject to shutdown orders and operation restrictions.

According to revisions to a relevant enforcement ordinance that passed the Cabinet on Friday, those eligible will not need to submit an application as the government will determine eligibility based on administrative documents. 

Compensation will only apply to losses incurred after related legislative revisions were proclaimed on July 7.

Businesses in the travel and tourism industries, most of which were not directly affected by tough distancing measures, will be excluded despite having suffered losses. 

The Ministry of SMEs and Startups is set to finalize details of the compensation plan as well as ways to appeal during an October 8 meeting, with an aimed distribution start at the end of next month.