Bipartisan agreement made to pass government budget bill for 2001

The ruling and opposition parties Sunday agreed on a net reduction of 800 billion won from the government-proposed budget bill for next year currently scaled at 101.03 trillion won.

Floor leaders of the two parties -- Rep. Chung Kyun-Hwan of the ruling Millennium Democratic Party (MDP) and Rep. Chung Chang-Wha of the opposition Grand National Party (GNP) -- made the agreement during a meeting early Sunday morning.

A subpanel under the Special Budget-Settlement Committee is to adjust the reduction item by item before the Assembly acts on the modified budget bill in a plenary session on Tuesday, according to the accord.

The 800-billion-won reduction will lower next year's budget to 100.23 trillion won.

The floor leaders also agreed to increase the budget only for policy projects such as efforts to reduce the debts of farmers and fishermen and investment in social overhead capital projects.

They shared the view of the need to curb projects promoted by lawmakers in accordance with petitions put forth by the voters in their constituencies.

The accord was interpreted as effort to boost business, create jobs and help impoverished farming villages while reducing spending on projects that are not viewed as essential. The move comes amid signs of a significant economic downturn next year.

The floor leaders decided to entrust the government to make its own choice of projects whose budgets would be slashed, and to reflect their parties' opinions in the process.

They further agreed to act promptly in special Assembly sessions on possible supplementary budget bills which might be needed to address unavoidable circumstances such as natural disasters.

They decided to pass the budget bill on condition that the government reduces ordinary expenditures as much as possible.

Planning-Budget Minister Jeon Yun-Churl, who was present at the floor leaders' meeting, said, ``It was somewhat overdue (for the parties to agree on the scale of the budget curtailment), but the government will have no problem implementing the budget, if the bill is passed in the plenary session Tuesday.