Busan City to Boost Construction Market by Early Disbursement of Public Construction Funds

Urgent Bidding of 1.9 Trillion Won in the First Half... Targeting 70% Execution Rate for Government Construction Projects

View of Busan City Hall. Busan City plans to boost the local construction market by accelerating early orders to raise the execution rate of government-funded construction projects to over 70% in the first half of the year.

[Asia Economy Yeongnam Reporting Headquarters Reporter Kang Sharon] Busan City has decided to expedite the issuance of public construction projects worth about 1.9 trillion won in the first half of the year to revive the construction market, which has been depressed due to the impact of the novel coronavirus infection (COVID-19).

Busan City announced on the 14th that the total amount of public construction projects exceeding 1 billion won this year is 2.6 trillion won, and among them, 73%, or 1.9 trillion won worth of projects, will be issued early in the first half of the year.

The execution rate of public construction projects over 1 billion won, which was 41% as of the end of April, is planned to be raised to 70% by the first half of the year.

The projects to be issued include a sewage pipeline installation and expansion project worth 28.9 billion won, the Oncheon 2 District stormwater detention facility installation project worth 9 billion won, and the construction of the Busan Student Comprehensive Safety Experience Center worth 7 billion won.

The city also plans to advance the schedule for lifestyle SOC projects, including the 'Creating Walkable Pedestrian Paths in the City Center' project, to secure national funding.

To expedite budget execution, the city intends to utilize the emergency bidding system. It plans to shorten the time required from issuance and contracting to commencement and swiftly carry out related administrative procedures through customized construction technology reviews.

A Busan City official said, “We are working together to quickly overcome the crisis and difficulties of the local construction industry, and to generate employment effects by promptly issuing public construction projects and raising the execution rate.”

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