지방자치단체의 재정위기와 파산제도

Subnational government fiscal crises have been experienced in many countries. In dealing with the fiscal crises, each country has designed and implemented various policies based on its historical experiences and economic situations. Regulatory frameworks to counter the subnational government fiscal crises consist of two components: ex ante fiscal rules for subnational debt issuances for the purpose of preventing fiscal crises, and ex post rules for stipulating debt restructuring and fiscal rehabilitation processes in the event that the subnational government has become insolvent. It is suggested that for effective control of subnational borrowings and fiscal crises, ex ante subnational borrowing regulations need to be complemented by ex post insolvency mechanisms. There are key considerations in designing a sound subnational insolvency mechanism for Korea. Firstly, the goal of the insolvency mechanism should be well defined. Depending on whether the goal is to provide the insolvent subnational government with a debt restructuring process and fresh start opportunity or to additionally provide a fiscal recovery process, the details and focuses of designing a insolvency mechanism would differ. Secondly, the effectiveness of the insolvency mechansim needs to be reviewed. Since a majority of subnational goventment debts in amount is currently owed to the central government, introducing the debt restructuring processes of the insolvent subnational government prior to the vitalization of private capital market for subnational debts may directly affect the credit and sustainability of the public finance of Korea. Thirdly, the insolvency mechanism should have such key rules as insolvency definition for triggering a bankruptcy filing, who to have right to file, collective debt restructuring processes and rehabilitation processes. Lastly, the design of the insolvency mechanism should be subject to the constitutional mandate of the self-governance of subnational governments under the Korean Constitution.