South Korea mulls cashbacks for credit card spending to boost consumption

The government reportedly plans to set the ceiling of cash back rewards per person.

South Korea is reviewing a plan to provide cash back rewards for credit card spending in a bid to boost consumption, a senior government official said.

"(The cash back scheme) will be designed in a way that will help revive sluggish domestic demand and underpin an economic recovery in the second half," First Vice Finance Minister Lee Eog-weon said in a press briefing, according to a report by Yonhap News Agency.

Under the plan, consumers will be able to receive the reward in cash for credit card spending made during a specific period.

Details have yet to be finalized, but the government reportedly plans to set the ceiling of cash back rewards per person in a bid to offer the benefits to as many people as possible.