Raising the competitiveness of local governments with advanced administrative systems and sound financial management

Supporting capacity building and greater autonomy in local administration

• MOIS works closely with 243 local governments in Korea through administrative consultations and policy dialogues to strengthen capacity at the local level.
• Greater autonomy is granted to local governments in consideration of their organizational structures and fiscal conditions.
• Local governments have more authority in terms of carrying out regional development and tourism through delegation of affairs from the central government.

More autonomy and more responsibility for local governments

• The Ministry closely monitors local financial affairs with the implementation of public announcement and resident participation in the operation of local budget execution.
• We also support affairs related to prohibition of concurrent office for local councilmen, thus reinforcing civil service ethics in local governments.
• Productivity Index has been developed by our Ministry to encourage competition among local governments for better performance.

Creating more advanced local administrative system

• Local governments in collaboration with our Ministry pursues various reform efforts through the county-district-village amalgamation for functional alignment and administrative jurisdiction adjustment.

Central-local coordination on fiscal planning

• MOIS formulates local fiscal policies for the balanced development of local governments.
• We support strengthening inter-ministerial consultation on the coordination of local government expenditure.
• Also, we assist local government affairs in drafting mid-term local financial plans in connection with the national financial plan.

Promoting robust local finance management

• The Ministry regularly monitors fiscal conditions to identify local governments at financial risks.
• It is mandatory for at-risk local governments to formulate a master plan for sound fiscal system and disclose it to their residents and loans are strictly prohibited to these local governments until the risk factors have been resolved.
• Loans are strictly prohibited to these local governments until the risk factors have been resolved.