Mokpo Mayor Kang Seong-hwi: "Make the Fiscal Structure Solid and Ensure That Citizens Clearly Feel the Benefits"

【Financial News Mokpo = Hwang Tae-jong】Mokpo Mayor Kang Seong-hwi presented the fiscal management direction for the ninth popularly elected administration at the 408th Mokpo City Council regular session on the 7th, saying, "We will make the fiscal structure solid and ensure that citizens clearly feel the benefits."
In particular, he stated, "Although local allocation tax revenue, which had plunged in the past, is recovering, actual fiscal capacity has not yet recovered."
According to Mokpo City, Mokpo's annual budget is approximately 1.2 trillion won. Of this amount, 570 billion won comes from national and provincial funds, leaving approximately 630 billion won in discretionary resources. However, fixed costs, including personnel expenses, welfare spending, and facility management costs, total approximately 550 billion won, leaving very limited resources for the city's own projects.
After local allocation tax revenue fell by approximately 130 billion won in 2023–2024, it recovered by roughly 60 billion won in 2025–2026. However, this recovery merely replenished funds previously covered by emergency resources such as the Fiscal Stabilization Fund, leaving actual fiscal capacity still severely constrained.
Accordingly, the ninth popularly elected administration decided to shift its fiscal management direction to two pillars: managed finances and citizen-focused finances.
First, managed finances will be pursued through fiscal diet measures and fiscal plus measures. Mokpo City plans to adjust public facilities with low utilization or overlapping functions, as well as recurring projects with limited effectiveness. It will also strengthen the management of general assets, local bonds, and delinquent payments, while managing unreported tax sources with a target local tax collection rate of 98% and strategically securing external resources such as local allocation tax revenue and national and provincial funds.
The city will also strengthen seed funding through corporate and investment attraction. By attracting corporate headquarters, production facilities, and public institutions, it plans to increase jobs and investment and create a virtuous cycle in which regional economic growth leads to increased local tax revenue.
In particular, Mokpo City will expand citizen-focused finances so that residents can directly feel the changes. To this end, it plans to achieve the early issuance of 100 billion won in Local Love Gift Certificates, strengthen support for traditional markets and small businesses, and further expand the “Right Away, Quickly” fiscal program from next year's main budget to swiftly address everyday inconveniences involving road repairs, garbage, transportation, and parking.
Mokpo Mayor Kang Seong-hwi emphasized, "Neither indiscriminate austerity nor reckless expansion is the answer. We will cut what needs to be cut, properly collect what is owed, create future revenue, and spend decisively where it is needed."

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