Investment of 5.5 trillion won over four years in HUG to return Jeonse deposits

The government has invested nearly 5.5 trillion won in HUG, a housing and urban guarantee corporation that guarantees the return of lease deposits, over the past four years.

According to the data submitted by the Ministry of Land, Infrastructure and Transport to Min Hong-chul, a member of the National Assembly's Land, Infrastructure and Transport Committee, HUG received an investment of 4.7 trillion won this year, including in-kind investments in the Korea Expressway Corporation, following the KRW 390 billion Housing and Urban Fund in 2021 and 23, respectively.

The government continues to invest in HUG because a decrease in HUG's capital could lead to a suspension of subscription to lease guarantees, which can guarantee up to 90 times the capital of the previous year.

The subrogation payment of the lease deposit paid by HUG instead was 100 million won in 2015, but it surged to 3.55 trillion won last year, and this year, it is expected to reach 2.733 trillion won as of August, a new all-time high.