S.Korea to raise 120 bln USD to fulfill presidential pledge

South Korea has planned to raise 134.8 trillion won (120 billion U.S. dollars) over the next five years to fulfill campaign pledges of President Park Geun-hye and enforce major policy agendas, the finance ministry said Friday.

The so-called "campaign pledge accounting book" will be raised through additional tax revenue worth 50.7 trillion won and a cut in fiscal expenditure worth 84.1 trillion won, according to the Ministry of Strategy and Finance.

The ministry said there would no direct tax hike to minimize any tax burden for people, noting that the money needed will be raised through overhaul of tax benefits, restrictions on underground economy such as tax evasion and cutting down government expenditure.

The money to be raised will be spent on fulfilling the presidential campaigns, the 140-point policy agenda of the Park Geun-hye administration and campaign pledges of last year's general election of the ruling Saenuri Party, the ministry said.

The policy agenda and campaign pledges can be divided into four broad categories. Around 33.9 trillion won will be allocated to the agenda of economic revival, and 79.3 trillion won will be spent on people's happiness. Around 6.7 trillion won and 17.6 trillion won were allotted to the agendas of cultural prosperity and strengthening the foothold of peaceful reunification each.