Finance minister on state budget for 2003
KCNA
Pyongyang, March 26 (KCNA) -- The 6th session of the 10th Supreme People's Assembly was held here on March 26.
Minister of Finance Mun Il Bong made a report "On the Summing Up of the DPRK State Budget for Juche 91 (2002) and Its State Budget for Juche 92 (2003)."
The report says:
Last year the gross industrial output value increased 12 percent as compared with 2001 and a foundation was laid to boost agricultural production.
New measures were taken to improve the economic management and the standard of people's living to suit the changed environment and conditions as evidenced by an increase in prices of all goods and living allowance and steps taken to properly introduce the cost-accounting system.
The plan of the state budgetary revenue was fulfilled at 100.5 percent while that of the state budgetary expenditure at 99.8 percent last year.
The DPRK government allocated 14.9 percent of the total state budgetary expenditure for increasing the national defence capacity to cope with the imperialists' evermore undisguised moves to isolate and stifle the DPRK, thus increasing the people's army's combat capability in every way and reinforcing the national defence industry.
Last year the DPRK government spent 22.7 percent of the total state budgetary expenditure for various domains of national economy. As a result, the material and technical foundation of the key industrial fields and agriculture gained in scope and strength and the technical reconstruction and modernization of light industry made headway to boost the production of mass consumption goods.
A big allocation of funds was made for science and technology.
As a result, main tasks under the 5-year plan for scientific and technological progress were successfully carried out to lay a foundation for developing ultra-modern science and technology and realise the technical reconstruction and modernization of the national economy.
Big efforts were channeled into the construction of key projects and land construction was energetically carried out as a mass movement.
The state allotted a huge amount of fund for implementing popular policies as the country's economic conditions remained difficult.
All the achievements made in the course of carrying out the state budget last year were a shining fruition of the army-based revolutionary leadership of the Workers' Party of Korea and a striking demonstration of the validity and vitality of its financial policy.
The state budgetary revenue for this year is expected to grow 13.6 percent over last year.
The state budget for this year envisages a 5 percent increase in the revenue coming from profits of state enterprises, the main source of budgetary revenue, over last year. Profits of cooperative organizations are expected to swell 3.3. percent, the revenue provided by social insurance 6.7 percent and the land rent 3.7 percent. The state envisages issuing people's life bond to effectively tap and use money to spare.
The total state budgetary expenditure this year is expected to grow 14.4 percent as against last year.
This year's plan of the state budgetary expenditure was worked out on the principle of giving priority to the development of the national defence industry while simultaneously developing light industry and agriculture as required by the era of the army-based policy.
The DPRK government will allocate 15.4 percent of the total state budgetary expenditure for national defence to meet the fundamental interests of the revolution so as to develop the national defence industry and train the people's army as an invincible army and thus consolidate the country's defences as an impregnable fortress.
This year, the 50th anniversary of the victory in the Fatherland Liberation War, the state will give top priority to the production of quality raw and other materials needed for increasing the combat power of the people's army and the national defence industry so as to boost the capability of the revolutionary armed forces in every way and implement to the letter the WPK's policy of putting all the people under arms and turning the whole country into a fortress.
This year investments in the field of power industry will increase 12.8 percent as against last year while 1.3 times more fund than last year will go to the field of coal industry to fundamentally solve the fuel and power problems.
Financial allocations for agriculture and light industry will go up 21.3 percent and 12.4 percent respectively as against last year to effect a radical turn in grain production and boost the production of quality basic foodstuffs and mass consumption goods of various kinds.
The expenses for the development of science and technology are expected to increase 15.7 percent.
18. 6 percent more fund than last year will be spent for land construction and city management this year to turn the whole country into a thick woodland and greenery and give face-lifting to its appearance.
The disbursement of funds for other fields will significantly swell this year: 15. 3 percent for education, 14.4 percent for culture and arts, 13.1 percent for health care and 6.6 percent for sports. A huge amount of educational aid fund and stipends will be sent to the children of Korean residents in Japan.
The reporter said that the state budget for this year is a revolutionary and popular one as it fully embodies the idea of the Juche-oriented army-based policy and line in the political, military, economic and cultural fields. He asserted the need to fully tap inner resources and possibilities, increase production and economize to the maximum to successfully implement this year's state budget and push ahead with the building of a powerful socialist nation.
