Yongsan-gu Selected as the Best Institution for Rapid Local Finance Execution in the Second Half of 2019

2019 Local Fiscal Execution Rate at 85.7%, 5.6% Higher Than National Average of Basic Local Governments... 4th Quarter Consumption and Investment Project Execution Rate Ranks 1st Among Seoul Districts

[Asia Economy Reporter Jong-il Park] The new coronavirus outbreak has caused instability in both domestic and international economies. Public institutions must take the lead in driving regional economic vitality.

Yongsan-gu (District Mayor Seongjang Hyun) was selected as the ‘Best’ institution among nationwide basic local governments in the second half of 2019 local finance rapid execution evaluation conducted by the Ministry of the Interior and Safety.

The district’s local finance execution rate in 2019 was 85.7%, which was 5.6% higher than the national average for basic local governments (80.1%). Out of a budget amount of 543.3 billion KRW, 465.7 billion KRW was executed.

In particular, the execution amount for consumption and investment projects in the fourth quarter was 93.9 billion KRW, greatly exceeding the initial target of 76.3 billion KRW. The execution rate in this sector (118.7%) ranked first among Seoul’s autonomous districts.

This evaluation was conducted on 243 local governments nationwide (17 metropolitan, 226 basic). Based on financial (60%) and consumption & investment (40%) execution performance, 16 top-performing institutions (4 metropolitan, 12 basic) and 14 excellent institutions (2 metropolitan, 12 basic) were selected in order of goal achievement.

A district official stated, “We made efforts to improve performance through daily performance checks, countermeasure meetings, and seeking solutions for underperforming projects centered on the Rapid Execution Promotion Team,” adding, “This year, we will also focus on rapid execution in areas with significant ripple effects such as jobs, consumption, and investment projects, emphasizing the stability of residents’ lives.”

Through this evaluation, the district secured 400 million KRW in financial incentives (special grants) from the Ministry of the Interior and Safety. The plan is to reinvest this in local priority projects.

The district also recently established the ‘2020 First Half Local Finance Rapid Execution Promotion Plan.’ The execution target amount is 90.9 billion KRW (57% of the managed budget amount).

Priority will be given to executing budgets in large sectors such as facility costs, service fees, and asset acquisition costs, and large-scale projects exceeding 3 billion KRW will be closely monitored to prevent delays. For projects subsidized by the national treasury, rapid fund disbursement will be requested from relevant ministries.

If necessary, the bidding period will also be minimized. The qualification review period has been shortened from 7 days to 3 days. Job projects included in this year’s Ministry of the Interior and Safety evaluation will be specially managed to achieve the first half target (68%) execution rate.

Seongjang Hyun, Mayor of Yongsan-gu, said, “Thanks to the concerted efforts of all staff, we were able to achieve the best results in the second half of 2019 rapid execution evaluation,” adding, “We will do our best again this year to overcome the domestic economy, which has become more difficult due to the new coronavirus outbreak.”

Planning and Budget Division (☎2199-6432)

This content was produced with the assistance of AI translation services.