National Assembly Speaker Woo Won-shik, center, talks with ruling party lawmakers at the National Assembly in Seoul, Dec. 2. Yonhap

National Assembly Speaker Woo Won-shik on Monday decided to put an opposition-led downsized budget bill for next year on hold, urging the ruling and opposition parties to reach an agreement by next week.

"After much consideration, we have decided not to present the budget bill at today's plenary session," Woo said during a press briefing at the National Assembly.

He "sternly" urged the ruling People Power Party (PPP) and the main opposition Democratic Party of Korea (DPK) to agree on the budget by next Tuesday, the final day of the regular session of the Assembly.

The proposal, railroaded by the DP at a plenary session of the parliamentary special committee on budget and accounts last week, puts next year's budget at 677.4 trillion won ($485.3 billion), down 4.1 trillion won from the initial plan proposed by the government.

Woo Won-shik, National Assembly Speaker, speaks during a press conference at the National Assembly in Seoul, Dec. 2. Yonhap

The budget cut affects the whole amount flagged for special activity expenses of the presidential office's secretariat and national security office, as well as those of the prosecution, the state audit agency and the police.

The DPK had been pushing to introduce the bill at Monday's plenary session despite opposition from the PPP, calling it a "drastic measure" to "normalize" the people's livelihoods as part of efforts to block a tax cut for the "superrich" and slash the budgets for state agencies wielding power.

Meanwhile, the government and the PPP have argued that such expenses must remain confidential to ensure operational effectiveness.

"The National Assembly is responsible for stabilizing people's livelihoods and the economy and coming up with a budget that brings hope to the economically weak and the vulnerable," Woo said.

He also urged the government to take a "more proactive role," saying the "responsibility and burden will lie with the government" if the passage of the budget bill is delayed.

The proposed budget also halves the government's 4.8 trillion-won reserve fund to 2.4 trillion won. (Yonhap)