The government submitted a budget bill of 2010 to the National Assembly which amounts to 291.8 trillion won including 27,935.1 billion won of a direct financial support for public enterprises. Although the government has been seeking various ways to provide the direct financial support to be appropriated as reasonably as possible, the cases of drawing up an excessive budget are still prevalent due to the institutional flaw.
This research mainly focused on scrutinizing the adequacy of the government-supported budget by analyzing the recent 5 years financial conditions of the quasi-government bodies, only belonged to a type of an execution by consignment- they have taken up 15,334 billion won, about 55 percent of the total budget.
Results from the assessment confirmed that some cases such as excessive contributions of government to public enterprises by means of underestimating their own revenue budget, or overlapped direct financial subsidies, along with persistently increasing indirect financial supports like the lawful monopolistic revenue. These overlapped and excessive financial supports resulted in impeding other projects with substantial needs for budget.
From now on, as for drawing up the budget for public enterprises, it should be improved in an efficient manner, by setting up guidelines for an more elaborate presumption about the own revenue budget, and carrying out an active investigation about the profit-and-loss status and the scale of financial assets in recent 5 years.
This research mainly focused on scrutinizing the adequacy of the government-supported budget by analyzing the recent 5 years financial conditions of the quasi-government bodies, only belonged to a type of an execution by consignment- they have taken up 15,334 billion won, about 55 percent of the total budget.
Results from the assessment confirmed that some cases such as excessive contributions of government to public enterprises by means of underestimating their own revenue budget, or overlapped direct financial subsidies, along with persistently increasing indirect financial supports like the lawful monopolistic revenue. These overlapped and excessive financial supports resulted in impeding other projects with substantial needs for budget.
From now on, as for drawing up the budget for public enterprises, it should be improved in an efficient manner, by setting up guidelines for an more elaborate presumption about the own revenue budget, and carrying out an active investigation about the profit-and-loss status and the scale of financial assets in recent 5 years.