The National Finance Act sets forth matters related to national finance including budgets, funds, account closing, performance management, and government debts. It addresses the wide-ranging social needs for efficient, transparent, and sound management of national finance. Understanding of the Act is, therefore, the first major step toward understanding national finance overall. However, understanding of the Act remains greatly hindered by a lack of explanatory materials on it.
The National Assembly Budget Office published Understanding and Application of the National Finance Act on the basis of its experience in analyzing and assessing national finance. This publication is designed to promote practical understanding of national finance by construing the National Finance Act from the perspective of legal principles and explaining its actual application in an accessible way.
This book consists of two sections. The first section introduces the system of Korean laws pertaining to national finance as well as the background and history of enactment of the National Finance Act. The second section explains the purpose and history of the National Finance Act, which constitutes seven chapters and 108 provisions, with commentaries on each provision along with specific cases of application.
The first edition was published in June 2012 and was revised to reflect the three amendments to the National Finance Act following its release, including one for early submission of a proposed budget. Some very recent cases of fiscal management were added to facilitate understanding of the commentaries.
Total government debt more than doubled from KRW 247.9 trillion in 2005 to KRW 514.8 trillion in 2014. In the face of growing fiscal needs such as the demand for a more extensive social safety net, soundness is emerging as an increasingly pressing issue in fiscal management. The book addresses this situation by introducing the latest issues including top-down budget review and the principles of PAYGO, which are being discussed as means to restore fiscal soundness.
The primary purpose of Understanding and Application of the National Finance Act is to effectively support national fiscal legislative activities by members of the 19th National Assembly, now in the second half of its term. The book is also expected to serve as a basic practical guide to the National Finance Act for government employees and financial professionals and promote the general public’s understanding of national finance.
The National Assembly Budget Office published Understanding and Application of the National Finance Act on the basis of its experience in analyzing and assessing national finance. This publication is designed to promote practical understanding of national finance by construing the National Finance Act from the perspective of legal principles and explaining its actual application in an accessible way.
This book consists of two sections. The first section introduces the system of Korean laws pertaining to national finance as well as the background and history of enactment of the National Finance Act. The second section explains the purpose and history of the National Finance Act, which constitutes seven chapters and 108 provisions, with commentaries on each provision along with specific cases of application.
The first edition was published in June 2012 and was revised to reflect the three amendments to the National Finance Act following its release, including one for early submission of a proposed budget. Some very recent cases of fiscal management were added to facilitate understanding of the commentaries.
Total government debt more than doubled from KRW 247.9 trillion in 2005 to KRW 514.8 trillion in 2014. In the face of growing fiscal needs such as the demand for a more extensive social safety net, soundness is emerging as an increasingly pressing issue in fiscal management. The book addresses this situation by introducing the latest issues including top-down budget review and the principles of PAYGO, which are being discussed as means to restore fiscal soundness.
The primary purpose of Understanding and Application of the National Finance Act is to effectively support national fiscal legislative activities by members of the 19th National Assembly, now in the second half of its term. The book is also expected to serve as a basic practical guide to the National Finance Act for government employees and financial professionals and promote the general public’s understanding of national finance.