ID :
203916
Sun, 08/28/2011 - 07:05
Auther :
Shortlink :
https://oananews.org//node/203916
The shortlink copeid
S. Korea aims to balance budget by 2013
SEOUL, Aug. 28 (Yonhap) -- South Korea is seeking to reach a balanced budget in 2013 and further reduce the level of national debts to the size of the economy by that time, officials said Sunday.
"We can achieve a balanced budget in 2013, one year ahead of our original plan, and are striving to further cut the ratio of state debts to the gross domestic product (GDP) to around 31 percent as well," said an official at the
Finance Ministry.
Under the earlier plans on state budget management, the ratio of national debt to GDP is expected to reach 33.8 percent in 2013. The comparable figure for last year was 33.4 percent.
"We will strictly review budget spending in order to attain a balanced budget, although there are growing calls for welfare spending," the official said.
South Korea remains in relatively good shape in terms of fiscal soundness, but there have been growing calls for increased spending on the social safety net.
Policymakers have not been receptive as they want to maintain the current stability in order to better prepare for future uncertainties.
Meanwhile, South Korea's fiscal deficit shrank in the first half from a year earlier as the economic recovery helped boost the government's tax revenue, according to government data.
The consolidated fiscal account, which reflects the central government's total income and expenditures, posted a 2.3 trillion won (US$2.1 billion) deficit during the January-June period, down about 9.1 trillion won from a year earlier, data showed.
South Korea's economy expanded 3.8 percent on-year during the first half. The government earlier expected the economy to grow 4.5 percent for the year.
"We can achieve a balanced budget in 2013, one year ahead of our original plan, and are striving to further cut the ratio of state debts to the gross domestic product (GDP) to around 31 percent as well," said an official at the
Finance Ministry.
Under the earlier plans on state budget management, the ratio of national debt to GDP is expected to reach 33.8 percent in 2013. The comparable figure for last year was 33.4 percent.
"We will strictly review budget spending in order to attain a balanced budget, although there are growing calls for welfare spending," the official said.
South Korea remains in relatively good shape in terms of fiscal soundness, but there have been growing calls for increased spending on the social safety net.
Policymakers have not been receptive as they want to maintain the current stability in order to better prepare for future uncertainties.
Meanwhile, South Korea's fiscal deficit shrank in the first half from a year earlier as the economic recovery helped boost the government's tax revenue, according to government data.
The consolidated fiscal account, which reflects the central government's total income and expenditures, posted a 2.3 trillion won (US$2.1 billion) deficit during the January-June period, down about 9.1 trillion won from a year earlier, data showed.
South Korea's economy expanded 3.8 percent on-year during the first half. The government earlier expected the economy to grow 4.5 percent for the year.
