Parties fail to reach compromise on budget

SEOUL, Dec. 8 (Yonhap) -- Last-minute negotiations on passing next year's
spending plan fell through Monday as a minority opposition party demanding
revisions intruded upon the meeting.
Rival parties have been striving to resolve their differences quickly in
reviewing the 2009 government budget, which was legally required to pass through
the National Assembly by Dec. 2.
Unless the plan is approved by year's end, the government will be hand-tied in
determining new measures on supporting low-income households and various tax cuts
devised to ease the ongoing global recession.
Floor leaders of three negotiating parliamentary bodies were to meet Monday and
officially agree on passing the budget on Dec. 12, a date proposed by Assembly
Speaker Kim Hyong-o last week. But about 20 members of the Democratic Labor Party
(DLP) charged into the meeting room and blocked discussions.
"We cannot let you agree to the budget and tax cut plans that have been designed
to support the wealthy and privileged," said DLP leader Kang Ki-kab, scuffling
with legislators as he tried to enter the meeting room.
The floor leader of the ruling Grand National Party, Hong Joon-pyo, called the
minority party a "bunch of bullies."
Populist politicians have been demanding changes to the scope of
government-proposed tax cuts and expenditures to provide substantive assistance
to non-permanent workers and other people in the lower rungs of the economic
ladder.
"We will have to reschedule the meeting soon," a ruling party official said.
The South Korean parliament has passed the budget bill in the last week of
December every year since 2003.
Critics here say adjustments are needed in next year's budget, calling for an
increase in fiscal spending of over 10 percent to 283 trillion won (US$195
billion) to effectively bolster the slowing economy.
The spending plan assumes and economic growth of 4 percent, far above analysts'
estimate of about 2 percent.
hayney@yna.co.kr
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