It was confirmed on the 20th that a consultative body will be launched in which government Ministers meet with heads of local governments once each in the first and second half of the year to discuss fiscal issues. The central government and local governments plan to discuss together policies that require large-scale fiscal input, such as the "5 hubs and 3 special autonomous provinces" strategy, a campaign pledge of President Lee Jae-myung, and administrative integration.
According to ChosunBiz's reporting, the government plans to launch a "fiscal consultative body" in the second half of this year, chaired by the Minister of the Ministry of Planning and Budget and joined by Ministers from related ministries, including the Ministry of Economy and Finance, the Ministry of Trade, Industry and Resources, the Ministry of Land, Infrastructure and Transport, and the Ministry of the Interior and Safety, as well as the heads (mayors and governors) of the 17 cities and provinces nationwide.
The meeting is likely to be held once in the first half and once in the second half, and convened as needed whenever issues arise. It is the first time that Ministers of each ministry and heads of local governments nationwide will meet regularly on fiscal issues. An official at the Ministry of Planning and Budget said, "A 'central-local government fiscal cooperation platform' is being created for the first time," adding, "It will be a venue to jointly discuss the national mid- to long-term development strategy and local growth tasks."
The consultative body plans to discuss how to raise and where to spend funds related to the 5 hubs and 3 special autonomous provinces national balanced growth strategy and administrative integration, key policies of the Lee Jae-myung administration. The 5 hubs and 3 special autonomous provinces envisions reorganizing the nation into five mega-regions (the capital region, the southeastern region, the Daegu–Gyeongbuk region, the central region, and the Honam region) and three special autonomous provinces (Gangwon, North Jeolla, and Jeju). The government plans to select two to three strategic industries for each region as growth engines and concentrate on deregulation, talent development, and fiscal and fund support.
Earlier, Prime Minister Kim Min-seok said last month that the government would push for up to 20 trillion won in fiscal support over four years for integrated metropolitan cities, along with priority transfer of public institutions and tax cuts. While integration talks are gaining momentum in areas such as Gwangju–South Jeolla and Daejeon–South Chungcheong, funding plans have yet to be fleshed out.
Meanwhile, ahead of the launch, Vice Minister Im Gi-geun, acting as Minister of the Ministry of Planning and Budget, is scheduled to chair the "Central–Local Government Fiscal Strategy Council" on the 26th. It will serve as a kickoff meeting before the council's official launch. Vice ministers from related ministries and deputy heads of cities and provinces nationwide (vice mayors and vice governors) will attend the event.