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Busan Metropolitan City Holds Kick-off Meeting for the AI-Based Smart Audit Administration Support System

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Busan Metropolitan City, led by Mayor Chun Jae-soo, announced that it officially launched its AI-driven audit administration innovation initiative by holding the kick-off meeting for the AI-Based Smart Audit Administration Support System at 2:00 p.m. yesterday (July 15) in the conference room of the Busan RISE Innovation Institute.

Representatives from the National Information Society Agency (NIA) and officials from Busan Metropolitan City attended the meeting to share the project implementation plan and discuss the system’s development direction and implementation schedule.

The AI-Based Smart Audit Administration Support System aims to apply artificial intelligence throughout the entire audit process within a highly secure closed-network environment, improving administrative efficiency while enabling audit personnel to devote greater attention to resolving citizens’ inconveniences and strengthening public safety.

The project is being implemented after becoming the first local government audit committee in the nation to be selected for the Ministry of the Interior and Safety’s Public Sector AI Service Support Program. Through this achievement, Busan Metropolitan City secured KRW 370 million in national funding.

Although the City’s Audit Committee has consistently pursued proactive audits with public safety as its highest priority, limited personnel resources and labor-intensive data analysis and report preparation have resulted in lengthy processing times and unavoidable blind spots in audit coverage.

To address these challenges, Busan Metropolitan City will establish an AI-powered audit system capable of comprehensively analyzing vast amounts of audit data. The AI will identify areas requiring inspection in advance, recommend similar past cases, prepare draft audit reports, and suggest standardized disciplinary measures appropriate to the severity of identified issues, thereby significantly improving both the quality and consistency of audits.

In particular, the system will utilize a closed AI model isolated from external networks, allowing sensitive audit information to be managed securely while simultaneously improving audit speed and quality. This will also enable auditors to concentrate more fully on their core responsibilities, including on-site inspections and the development of improvement measures.

Looking ahead, Busan Metropolitan City plans to establish a standardized AI audit model that can be jointly utilized by the central and local governments. This model will transform auditing from a post-detection approach to a prevention-oriented system, ultimately enhancing the level of public safety and trust experienced by citizens.

Throughout the project, the National Information Society Agency (NIA) will provide close support across every stage, from system design to construction and operation. The Ministry of the Interior and Safety plans to standardize Busan Metropolitan City’s successful model by incorporating it into the government-wide AI common platform and expand its adoption to local governments nationwide.

The project is also significant because it represents the successful outcome of a voluntary policy research group established by staff members of the City’s Audit Committee.

In August 2025, officials from the Audit Committee formed an audit research group named “A-eye ON.” Over approximately six months, they benchmarked leading institutions’ AI applications while engaging in continuous learning and discussion.

Ideas developed through this process were incorporated into the competition proposal, ultimately leading to the project’s final selection through nationwide competition.

Yoon Hee-yeon, Chair of the Busan Metropolitan City Audit Committee, said, “This project marks the nation’s first attempt to strengthen the preventive function of auditing by integrating artificial intelligence into audit administration. We will do our utmost to promptly address issues that directly affect citizens’ daily lives and improve the quality of public administrative services in ways that citizens can clearly experience.”