It is expected that the software projects of public institutions will amount to W2.16 trillion won next year.
On Dec 10, the Ministry of Knowledge Economy (MKE) announced that it surveyed 1082 ministries, public offices, and municipalities about their plans for software procurement and setting up information systems. They concluded that the public sector's software projects would be worth W2.16 trillion next year, up 7.4% from last year.
The survey also showed that procurement of hardware is likely to stand at W377.7 billion, software packages at W142.4 billion, and the budget for setting up information systems and software development at W1.64 trillion. The budget for setting up information systems and software development in particular is projected to go up 12.8% next year, fueling expectations of stepped-up activities in setting up information systems and developing software in the public sector. Of the total public sector software projects, those with confirmed dates for order placement account for 85.2%, or W1.8 trillion, 91.3% of which is slated to be available for bidding within the first half of next year.
As a result, planned front-loaded budget spending is expected to speed up the still-beginning economic recovery in Korea. On top of that, projects with no set timetable are much more likely to be carried out in the first half of next year as the Korean government emphasizes the need for early budget execution.
