Vice Minister Gi Jae: "We Will Boldly Cut Unnecessary Fiscal Expenditures"

[Image source=Yonhap News]

[Asia Economy Reporter Jang Sehee] Koo Yoon-chul, Vice Minister of Strategy and Finance, stated on the 26th, "We plan to recover from the damage caused by the novel coronavirus infection (COVID-19), respond to the expanding uncertainties in the external economy, and boldly streamline unnecessary fiscal expenditures."

On the same day, Vice Minister Koo held the 'Sectoral Comprehensive Expenditure Restructuring Task Force Kick-off Meeting' at the Government Seoul Office, stating, "We especially plan to strongly promote restructuring of subsidies and grants that are habitually continued without consideration of similar or overlapping projects, annual poor execution, and project effectiveness."

He also emphasized, "We will prevent fiscal leakage through thorough management across the entire fiscal cycle, including strengthening inspections and sanctions against fraudulent subsidy claims," and added, "Expenditure restructuring needs to produce definite results through intensive innovation, not just annual slogans."

At the meeting, the task force conducted a preliminary diagnosis of the current expenditure structure of our country by comparing it with other countries such as the Organisation for Economic Co-operation and Development (OECD) and forecasting fiscal demand.

Accordingly, after further review, the task force plans to finalize sectoral fiscal investment directions at the National Fiscal Strategy Meeting and promote expenditure restructuring in sectors with lower priorities.

Additionally, they plan to continuously manage and monitor this through the 2021 budget proposal and the 2020?2024 National Fiscal Management Plan.

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