Government issues decision to support local budgets in preventing, controlling Covid-19

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Illustrative photo. Source: Internet

According to the Decision, the fund for the implementation of specialized policies (guaranteed state budget) in the prevention and control of the Covid-19 pandemic is specified in Article 1 of Resolution No. 37/NQ-CP of March 29, 2020 of the Government.

The fund for repairs of facilities, procurement of medical equipment for concentrated isolation and Covid-19 disease prevention, isolation, treatment units shall comply with the direction of the National Steering Committee on prevention and control of the Covid-19 pandemic and instructions from the Ministry of Health.

The Decision specifies the support mechanism from the central budget as follows: for mountainous provinces and the Central Highlands, the central budget shall support 70% of the actual spending.

For the remaining Central provinces and cities: those that have revenues contributed to the central budget of 50% or more, actively use their local budget reserve.

Those that have revenues contributed to the central budget of less than 50%, are funded 30% by the central budget.

Those that have failed to balance their budgets, are funded 50% by the central budget.

Localities use a maximum of 50% of their local budget reserve and maximum of 70% of provincial finance reserve fund for prevention of the Covid-19 pandemic.

If localities use a huge amount of money to control the Covid-19 pandemic and if the guaranteed local budget exceeds the local resources, including 50% of the local budget reserve (including three provincial, district and commune levels) and 70% of the local financial reserve fund, the central budget will compensate for the difference beyond the local resources.

The Decision stated that the Ministry of Finance shall base on the provisions of this Decision and the actual expenditures from the State budget to support the prevention and control of the pandemic reported by the provincial People's Committee to consider and support from the central budget for each locality and periodically report to the Prime Minister on the implementation results.

If the pandemic occurs on a large scale, the local budget can afford to implement the prevention and control of the pandemic, the Ministry of Finance shall base on the proposal of the provincial People's Committee to supplement a fund to the locality to implement (maximum 70% of the central budget's support level).

The Presidents of the People's Committees of the provinces and cities directly under the Central Government shall base on their practical conditions and local budgets to supplement the level of support fund for isolated people and those directly participating in prevention and control of the pandemic compared to the current regulations.