Paving the way to a prosperous economic future..
The Ministry traces its origins back to the Planning Administration and the Ministry of
Finance launched on July 17, 1948, with the establishment of the government of the
Republic of Korea. The Ministry of Finance was responsible for policies, standards, and procedures
governing taxation, treasury operations, finance, currency, and foreign exchange while the
Planning Administration, which later changed its name to the Economic Planning Board in
1961, was in charge of government budgeting and economic development plans.
The two merged in 1994 into one unified organization, the Ministry of Finance and Economy. However, in the wake
of the 1997 Asian financial crisis, the Ministry was again reorganized into the Ministry of Finance and Economy and
the Ministry of Planning and Budget.
With the new administration taking office in 2008, the Ministry of Finance and Economy and the Ministry of Planning
and Budget merged to form today’s Ministry of Strategy and Finance that can serve as one roof where economic policies,
the nation’s finances, fiscal strategies, and a tax system are effectively managed.
- In 1948, three years after gaining independence from Japan, the Korean government was set up and it established
the Ministry of Finance and the Economic Planning Board. The Ministry of Finance took charge of designing tax,
financial and monetary policies as well as managing state-owned property and exchange rates.
On the other hand, the Economic Planning Board was empowered in 1961 and assumed an important mandate of
designing 5 year economic development plans in addition to its usual functions such as managing the government's
budget and securing foreign loans.
- In 1994, as the need arose for an integrated approach to implement the government's functions on economic affairs
in an efficient and coherent way, the Economic Planning Board and the Ministry of Finance was merged into the
Ministry of Finance and Economy (MOFE).
- In 1998, in a response to the financial crisis, the MOFE's functions were separated and transferred to other Ministries
so as to mitigate the over-concentration of decision making authority by MOFE.
Its budgetary authority was transferred to the National Budget Administration, its financial supervision authority to the
Financial Supervisory Commission, and its trade negotiating authority to the Ministry of Foreign Affairs and Trade.
- In 1999, the Planning and Budget Committee and the National Budget Administration was merged into the Ministry
of Planning and Budget (MPB).
- In 2008, the Ministry of Finance and Economy (MOFE) and the Ministry of Planning and Budget (MPB) was again
merged into the Ministry of Strategy and Finance (MOSF) in order to put under one roof fiscal policy functions and
inter-ministerial policy coordination.
On the other hand, the MOFE's authority on financial policies regarding the financial market was transferred to the
Financial Services Commission.