The views expressed in this presentation are the views of the author and do not necessarily reflect the

views or policies of the Asian

Development Bank Institute (ADBI), the Asian Development Bank (ADB), its Board of Directors, or the governments they represent.
ADBI does not guarantee the accuracy of the data included in this paper and accepts no responsibility for any consequences of their use.
Terminology used may not necessarily be consistent with ADB official terms.
Korea’s Fiscal Reforms in Recent Years
 Medium-term
Fiscal Management
Plan
(Upper-level)

Efficiency
Autonomous
Total Budget
Sustainability
Allocation Performance
(Autonomy) Management Transparency
(Accountability)

(Lower-level)
 MTEF

Performance
Top-down
Management
 National Fiscal
Management Plan
5-year Medium-term Expenditure
Framework (MTEF)

Performance Evaluation Budget Formulation

Manages 2,136 Fiscal Programs $351 billion Budget Request
and 5,184 Performance Indicators Review & Adjustment

Accounting & Settlement Budget Execution

Prepares 768 Settlement Reports Average Daily Treasury Funds
$7 billion transfers
and $3.5 billion receipts

Asset & Debt

Management
$1,643 billion total assets
and $1,137 billion total debts

1) Based on FY2017 figures

2) dBrain is Korea’s own Digital Budget & Accounting System (DBAS) and the ‘d’ stands for digital
 24 hours 365 days
Total # of 76,258
dBrain Users KPFIS (Seoul) NIRS (Daejeon)

Main Data Center

 Server : 102
Daily Operation Index  Network : 53
 Security : 73
 Storage : 10
User Expenditure Revenue User
Transfers Collection
Cases
Traffic Calls

Seoul
NIRS (Gwangju)
15,689 $7.6B $3.2B 530,000 1,436
Daejeon Disaster Recovery Center
 Server : 23
Gwangju  Network : 21
* Daily average figures as of Oct. 2018  Security : 19
 Storage : 5

* KPFIS : Korea Public Finance Information Service

* NIRS : National Information Resource Service
Facilitate performance-based fiscal management feed-back cycle

Real-time Treasury Fund Management

Real-time • Efficient treasury fund management via EBPP & EFT

• Prevent corruption and fraud

Performance-based
Program-based Online Work Process
Fiscal
Management
Online • Accumulate all PFM related data online

• Easier monitoring of projects via online platform

Strategic
Resource Allocation
Integration & Interface w. External Systems

Integration
& Interface • Line ministries & funds financial activities integrated

• Interface & linkage with external systems

(Broader scope of fiscal statistics)
Complete renewal in January 2018 expanded scope and update
frequency of budget allocation, execution, project info

Daily Updates on Execution Detailed Project Descriptions

 Strengthened two-way interactive communication with citizens
 Virtuous Circle of Fiscal Information Use
Ahead of User Interests

Proactive research and analysis via big data analysis

1 2 3 4
Open
Keywords Analysis Reports Fiscal Data

Portals, news, blogs, etc.

Strong
Interactive
Specific Data Communication
Request

Interaction
Process
Boost
User & Provide
Data
Open Fiscal Data

Provides processed data to user-needs per request Feedback loop of request-review-application

Customized Data Service User-Provider Communication

 Scattered information throughout various government websites are
consolidated while linking with global economic and fiscal statistics

Consolidated Fiscal Info Linkage w. Global Stats

Local Government · Subsidies Economic · Fiscal Stats

Public Finance Research Government Agencies

Ministry of Interior & Safety

Ministry of National Defense
Ministry of Education
National Tax Service
National Policy Agency

Improved User Experience and Usability of Fiscal information

 Higher Efficiency / Transparency / Fiscal Data Utilization

Citizens / National Line Fiscal

Researchers Assembly Ministry Authority

• Enhanced monitoring • Effective performance • Improved accountability in • Better management of

capability for the public analysis tool for each policy implementation fiscal risks and fiscal
policy activity sustainability
• Budget waste reduction • Enhanced work capability
• Improved efficiency in via real-time monitoring • Proactive and timely
• Customizable info at-hand budget & settlement response to potential
reviews global financial crisis
PB Projects in the 2019 National Budget
 Simple idea
proposed by citizens

‘Wheelchair Accessible Bus ’ Proposal selection &

project selected development by experts

US$1.18 million added in

Turn into Reality!
the 2019 National Budget

Citizen’s simple idea can be developed into a national project