The ministry launches the Local Government Policymaking assistance System as part of Phase 3 of the Next Generation Local Finance Management System project
The Ministry of the Interior and Safety (MOIS) will share the local finance data at local governments across all local governments, visualize local economic and social data, and offer analytics features to assist science-based decision-making for local government policies.
Having completed the test operation of the Local Government Policymaking Assistance System as part of Phase 3 of the Next Generation Local Finance Management System (eHOJO+) development project, the MOIS announced that it would provide the services to all local governments starting from Monday, August 28.
The MOIS has been working with local governments and the Korea Local Information Research & Development Institute (KLID) to develop the Next Generation Local Finance Management System in several phases. In August 2022, as Phase 1 of the project, the ministry migrated systems scattered across 243 local governments to an internet-based resource sharing (cloud) environment and launched a budget organization service for local governments.
Phase 2, which began this January, involves a local subsidy management service to help local governments manage their finance, which amount to around KRW 470 trillion (including budget execution, contracts, funds, assets, liabilities, and cash other than the revenue and expenditure), and prevent fraudulent benefit claims including double claims.
The new Policymaking Assistance service offers around 530 menus showing more than 8,000 metrics based on local economic and social data from Statistics Korea and other institutions, as well as local revenue, expenditure, settlement, and other finance data collected by local governments since 2007.
First, the General Local Status provides map-based visualizations of local finance and the economic and social status of different regions at the national, metropolitan/provincial, and city/county/district levels to expand the use of comparative analyses between local governments.
Second, the service utilizes data analytics features to analyze various statistical information through charts and diagrams from the user’s perspective.
In particular, it enhances information sharing across local governments by giving them access to the budget and settlement information on all local government projects, including specific calculations.
Third, the Local Status Forecast provides financial scale estimations, sharing of financial responsibilities in social welfare and other areas, budget execution in the current year, and available financial resources based on big data.
Starting in 2024, the MOIS plans to keep expanding on its forecast indicators. For example, the ministry will expand economic and social analyses on the local level utilizing private sector data, such as population flow and card use, and develop analytic models to predict available financial resources at local governments.
In addition, the MOIS will continue to advance its services, including the adoption of large language models (such as ChatGPT) artificial intelligence (AI) services to help local government employees deal with the more challenging aspect of data analysis.
The services are expected to revolutionize the way local governments use data in their operations by analyzing the required information from diagrams and charts in real time and generating results.
source: MOIS(Ministry of the Interior and Safety)
Local Regulation Reform Division