Gyeongbuk Province Faces 170 Billion Won Revenue Shortfall This Year... Lee Cheol-woo Calls for "Strong Fiscal Tightening"

Executive Vice Governor Leads Formation of 'Emergency Financial Situation Inspection TF Team'

[Asia Economy Yeongnam Reporting Headquarters, Reporter Park Dong-wook] Gyeongsangbuk-do announced on the 15th that it will form and operate an 'Emergency Financial Situation Inspection Task Force (TF)' to overcome the prolonged economic recession caused by the novel coronavirus infection (COVID-19) and to fully respond to the deteriorated financial conditions.

Until last year, the budget size surpassed 10 trillion won, maintaining stable tax revenue growth, but this year, Gyeongbuk Province's own assessment is that it is facing a serious situation due to the economic downturn trend and worsening revenue conditions caused by COVID-19.

Earlier, Governor Lee Cheol-woo expressed concern at the 316th extraordinary session on the 11th, stating, "Domestic taxes related to the government's third supplementary budget have decreased by 10 trillion won, and accordingly, the ordinary local allocation tax and local consumption tax have decreased by 118.4 billion won, and acquisition tax, a local tax, is expected to decrease by 51.6 billion won due to the prolonged economic recession, resulting in a total expected revenue shortfall of 170 billion won for the province."

To urgently respond to this difficult financial reality, Gyeongsangbuk-do will form the 'Gyeongsangbuk-do Emergency Financial Situation Inspection T/F' to secure financial soundness and promote financial reform.

The Emergency Financial Situation Inspection TF to be formed by Gyeongbuk Province will be organized into three teams by sector, with the Vice Governor as the task force leader and the Director of the Planning and Coordination Office as the general team leader. Ten external experts who will serve as financial advisors are private members of the Gyeongbuk Province Subsidy Deliberation Committee and the Financial Planning Deliberation Committee.

The three teams of the Emergency Financial TF will promote △ securing resources through expenditure structure adjustment by sector △ expanding revenue sources such as discovering new tax bases △ budget savings and prompt execution through efficient financial management. They will conduct expenditure structure adjustments on administrative expenses, entrusted projects of public institutions, and local subsidies, and plan to suppress incremental budgets by introducing a competitive project system for city and county support projects and a budget ceiling system for departments and bureaus.

Governor Lee Cheol-woo, at a plaque unveiling ceremony in front of the provincial budget officer's office that day, said, "Starting with the governor, we plan to implement tight fiscal management through bold expenditure structure adjustments that reduce inefficient budgets within public offices and adjust expenses directly supporting residents to lower priority, in a way that residents can sympathize with," and asked for active cooperation from the residents.

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