SEOUL, Dec. 6 (Yonhap) -- Rival parties held a last-minute negotiation Thursday to make a breakthrough over the government's 2019 budget bill, with electoral reform emerging as a sticking point in moving their talks forward.
The floor leaders of the parties resumed their talks Thursday morning to narrow their differences over the government's proposed 470.5 trillion-won (US$426.6 billion) fiscal spending, four days after the legal deadline for its passage expired.
They failed to reach an agreement a day earlier over the government's record budget proposal, which is aimed at propping up the slowing economy and spurring job growth.
Major bones of contention in the original budget bill were an expected 4 trillion-won shortfall in tax revenue and the budget set aside for inter-Korean projects and job creation.
On Wednesday, the parties said they made a draft agreement that reportedly cuts the size of the fiscal spending amount to some 1 percent of the government's proposed budget.
They are also likely to allow the government to issue state bonds to fill the shortfall in tax revenue. But as soon as the government secures additional tax income, it should make efforts to repay debt.
But the electoral reform has emerged as a major sticking point in their budget negotiations as minor parties seek to link the issue to the passage of the budget proposal.
Minor parties are strongly calling for the ruling Democratic Party and the main opposition Liberty Korea Party to accept their demand for a new proportional representation system.
Smaller parties are pushing for the introduction of the mixed-member proportional (MMP) representation system in which parliamentary seats are tied to the percentage of voters' support for different parties.
"There will be no linkage between the budget bill and a revision of the election law," Hong Young-pyo, the floor leader of the DP, said at a meeting with party officials.
"It is regrettable that the passage of the budget proposal gets protracted due to three minor parties' demand," he added.
If the parties fail to reach a compromise by noon, it is highly uncertain whether the budget proposal could be passed during the ongoing parliamentary regular session.
A plenary session slated for Friday will be the last one before the 100-day session ends Sunday.
The DP called in a plenary session Monday to consider the vote on the government's budget bill in its original form, but opposition parties boycotted the session.
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