Partisan row cripples budget review

SEOUL, Dec. 1 (Yonhap) -- Opposition lawmakers boycotted a belated parliamentary
session for making final adjustments to next year's spending plan Monday, adding
to growing concerns that the National Assembly may fail to settle the budget in
time.
The 2009 budget, which calls for an increase in fiscal spending of over 10
percent to 283 trillion won (US$193 billion), must pass the parliament by Tuesday
next week, though the deadline is unlikely to be met due to the partisan row over
the scope of tax cuts and expenditure increases. The 100-day regular
parliamentary session will end on Dec. 9, leaving a maximum of eight days for
rival parties to bridge their differences and settle the plan.
President Lee Myung-bak's Grand National Party (GNP) said it would settle the
budget by early next week "with or without" its opponent's cooperation.
"This is not a disputable issue," said GNP whip Hong Joon-pyo. "The budget will
be ratified by Dec. 9 no matter what."
The conservative ruling party controls an absolute majority of 172 seats in the
299-member unicameral legislature while its main opponent holds 83.
The main opposition Democratic Party said it will continue boycotting the
sessions until required changes are made to the spending plan.
"Yes, we are running out of time," the party's chairman Chung Sye-kyun told a
press briefing Monday. "But we cannot tag along with this plan which will,
without doubt, worsen the country's financial sustainability by overlooking the
financial turmoil that will continue into next year."
The liberal main opposition party has been calling on the conservative Lee
government to revise the budget plan, which calls for sizable tax cuts and
assumes an annual economic growth of 4 percent.
The party claims the planned tax cuts will widen the income gap by mostly
benefiting the rich, and argues analysts have forecast that South Korea's economy
will grow by only 2 percent next year amid the global credit crunch.
"The party will not participate in reviewing the budget until the government
comes up with a new plan," said Cho Jeong-sik, spokesman for the main opposition
party.
hayney@yna.co.kr