지방공기업 개발사업 실태분석과 개선과제

Abstract

Most of development programs of local public enterprises such as industrial complex preparation, housing land creation and innovation city development are closely related with those of central government. Poor management performances of local public enterprises may have negative impact on fiscal soundness of central government as well as local government. This study focuses on analyzing current conditions of development programs that are being carried out by 15 urban development public corporations and 9 other public corporations, and suggesting some improvement proposals to enhance financial soundness of those local public enterprises. Local public enterprises rushed to the development programs in the period of overheated real estate business. They are now suffering from various financial difficulties like liquidity shortage and low profitability, which are caused by deeply contracted domestic real estate business after the economic crisis of the United States. 15 urban development public corporations had invested 31,000 billion Korean Won in development programs until 2011, but the profitability rate was so low. The rate of return on investment was only 0-1 percent. In order to improve such problems mention above, strict prior validity study must be applied to each large-scale development programs of local public corporations. It is needed to require local public enterprises to make a mid and long-term financial management plan and to submit implementation reports to the local councils. It is also recommended to lower the ceiling of local public corporation bond to enhance the fiscal soundness of local public corporation.