Determined disbursement of public investment

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Still far from the target

According to data from the Ministry of Finance, the estimated disbursement of state budget investment capital for the 11 months of 2023 is nearly VND 460,980 billion, reaching 59.39% of the plan and 65.1% of the plan assigned by the Prime Minister. Although it is still far from the minimum disbursement target of 95% for the whole year, compared to the same period last year, this figure has increased significantly. In the corresponding period of 2022, the disbursement rate was 52.43% and 58.33%, respectively, with an absolute increase of over VND 122,660 billion.

According to the Ministry of Finance, while some units have achieved positive results and are likely to complete their disbursement plans, such as the State Bank (94.74%), the Ministry of Transport (73.42%), the Ministry of National Defense (70%), the Ministry of Public Security (71.61%), Vinh Phuc province (98.97%), Dong Thap province (95.19%), Tien Giang province (94.55%), Thua Thien Hue province (93.32%)... there are still 15 central ministries and agencies that have disbursement rates below 15%, and 2 localities below 35%, out of a total of 64/115 ministries and localities with disbursement results for the 11 months lower than the national average. Therefore, the Ministry of Finance acknowledges that achieving the minimum disbursement target of 95% is very difficult given the disbursement performance of these ministries and localities.

With only one month left until the end of 2023 and a disbursement target of over VND 250,000 billion, the acceleration of public investment disbursement continues to be emphasized. The government has established 5 task forces to promote the disbursement of public investment capital, and 26 working groups, led by government members, have consistently worked with localities to inspect, urge, and resolve difficulties in public investment disbursement from the beginning of the year until now.

Recently, Minister of Finance Ho Duc Phoc, who is also the head of Task Force No. 5, conducted an inspection and urged the acceleration of public investment disbursement in four provinces: Gia Lai, Kon Tum, Dong Nai, and Binh Phuoc. All four provinces have a disbursement rate of public investment capital lower than the national average. Systemic issues in policy frameworks, organizational management, and implementation are still the reasons delaying the disbursement progress in these localities. At the same time, these provinces are also facing challenges in determining land prices for compensation, land clearance; and procedural issues related to land exploitation permits under the 2010 Mineral Law, resulting in a lengthy process and time-consuming procedures.

Cautious Planning for the Allocation of the 2024 Plan

Through the synthesis of reports from various ministries, agencies, and localities, numerous challenges have been candidly identified, but resolving them is proving to be a complex task. For example, by the end of November, 21 out of 52 central ministries and agencies and 30 out of 63 localities had not fully allocated the capital plans assigned by the Prime Minister, with a total unallocated capital exceeding VND 16,166 billion. Specifically, the unallocated funds for the Economic and Social Development Recovery Program amounted to over VND 6,197 billion.

The Ministry of Finance's reported reasons for the incomplete allocation of plans are related to certain projects under the Economic and Social Development Recovery Program that have not completed their investment procedures, thus not meeting the conditions for detailed allocation of funds in 2023. Some local projects are still in the process of finalizing investment procedures and project adjustments, such as the Huu Nghi - Chi Lang project in Lang Son province and the Hoang Lien Tunnel project in Lai Chau province.

Therefore, the Ministry of Finance recommends that central ministries, agencies, and localities proactively and vigorously implement resolute, coordinated, and effective tasks and solutions to accelerate the disbursement of public investment capital, in line with the Resolutions of the Government, Directives, Official Dispatches, and guidance documents from the Prime Minister regarding the acceleration of allocation and disbursement of public investment capital in 2023.

Simultaneously, the Ministry of Finance urgently requests the 21 central ministries and agencies, as well as the 30 localities, to promptly complete the allocation of the 2023 plan for the remaining unallocated funds. They are instructed to assess the feasibility of implementation by January 31, 2024, proactively proposing the extension of funds as stipulated in Government Decree No. 40/2020/NĐ-CP dated April 6, 2020, and based on their implementation capacity. This approach aims to avoid cases where proposed extensions are not disbursed within the specified time frame. Given that only about 60.64% of the plan for the funds carried over from the 2022 plan to 2023 has been disbursed, the Ministry of Finance believes this may result in a waste of resources and impact the ability to mobilize funds. The Ministry of Finance also suggests being proactive in planning the allocation of the 2024 plan as soon as it is assigned by the Prime Minister, avoiding multiple fund allocations throughout the year.

At a meeting chaired by the Deputy Prime Minister with various ministries, central agencies, and local authorities to accelerate the disbursement of public investment capital in 2023, the Prime Minister suggested that each agency, unit, and locality, especially those in leadership positions, should elevate their spirit and awareness of responsibility towards the people and the country, so that 'work can proceed smoothly without the need for excessive meetings.' He emphasized the importance of fostering a resilient spirit, viewing challenges and difficulties as motivation to strive and remain determined to disburse at least 95% of the assigned plan for 2023. The Prime Minister delegated specific tasks to each ministry and sector, with the Ministry of Finance instructed to direct the State Treasury to promptly execute payments for completed volumes, especially through online public service channels.