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Improvement of the Budgetary Program Evaluation System in Seoul

Ga-Hui Shin ·Min-Young Lee

In accordance with the principle of performance-based fiscal management, the 2014 「Local Finance Act」 stipulated the budgetary program evaluation of local governments, six years after the Evaluation of Seoul was implemented based on this Act. The budgetary program evaluation plays a role in linking the budget with the work performance, such as cutting project budget and improving the project. It is essential to establish a reasonable and appropriate evaluation system for the performance management system to be effectively implemented.

The purpose of this study was to examine problems with the budgetary program evaluation system and explore future directions for improvement. This study conducted Meta-Evaluation to examine problems of the budgetary program evaluation system. It surveyed Seoul officials (self-assessor) and external experts to perform a Meta-Evaluation.

Meta-Evaluation results are as follows. Firstly, there was less congruent between the evaluation system and fiscal institutions. Secondly, there were problems (ambiguity of evaluation’s targets, uniformity of evaluation indicators, and lenient self-assessment). Thirdly, performance information was less utilized in budgeting. This study suggests ways to improve the budgetary in terms of institutions, operations, and utilization of performance information.