Plan to allocate medium-term public investment from the State budget for 2021-2025

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Illustrative Photo: Internet

At the same time, the Prime Minister has allocated the list and level of central budget capital under the medium-term investment plans from 2021 to 2025 for each project, planning task, investment preparation task and granted compensation for differences between interest rate and management fees as well as provided charter capital for policy banks and non-budget state financial funds.The Prime Minister has assigned the medium-term investment plan of state budget capital in the 2021-2025 period to ministries, ministerial-level agencies, government-attached agencies, other central agencies, and the Electricity Group of Vietnam and provinces and centrally-run cities.

Before September 30, the capital investment plan must be allocated for new start-up projects

The Prime Minister has requested ministries, central agencies and localities to base on the medium-term investment plan from state budget capital for the 2021-2025 period, the list of projects and the central budget capital level under the assigned medium-term investment plan for the 2021-2025 period to notify or decide the medium-term investment plan for the 2021-2025 period for agencies and units using public investment capital in compliance with the provisions of the law on public investment.

Ministries, central agencies and localities should use and mobilize other capital sources to finish and ensure the quality of projects which have not been fully allocated from the approved central budget, key national and inter-regional projects which have not been allocated from the local budget and should not propose additional capital from central budget.

Ministries, central agencies and localities should proactively propose the use of the arranged central budget capital (excluding the central budget capital which was arranged to recover advance capital for the list of projects attached to this Decision and key national and inter-regional projects) and other capital sources to recover the entire advance capital of the list of projects that have not been reported in the medium-term public investment plan for the 2016-2020 period and is not allowed to postpone the advance (if any).

Based on annual balance, capital shall be prioritized for transitional projects.

Ministries, central agencies and localities should urgently arrange investment plans from central budget capital in 2021 before September 30, 2021 for new construction projects, investment tasks and planning tasks that have completed investment procedures as prescribed; adjust the central budget capital investment plan in 2021 for projects that have not arranged medium-term investment plans for the 2021-2025 period.

Eliminate ‘ask-give’ mechanism, public investment to lead private investment

The Prime Minister has requested the People's Committees of provinces and centrally-run cities to report to the People's Council at the same level to allocate and arrange the medium-term investment plans in following principles and criteria:

Specifically, the capital allocation must be for implementation of development goals and orientations in the Social and Economic Development Strategy 2021-2030; Socio-Economic Development Plan 2021-2025, central governments and local governments and approved planning of provinces, regions and agencies.

The capital allocation must comply with regulations, principles and priority order of the Law on Public Investment, the Law on State Budget, Resolution 29/2021/QH15 dated July 28, 2021 of the National Assembly, Resolution 973/2020/UBTVQH14 dated July 8, 2020 of the National Assembly Standing Committee on principles, criteria and norms for allocation of public investment capital from the State budget in the 2021-2025 period, Decision 26/2020/QD-TTg dated September 14, 2020 of the Prime Minister and related documents.

The capital allocation must follow the goal of restructuring public investment, mobilizing maximum non- state budget sources and effectively implement the Law on Investment in the form of public-private partnership; restructure the economy and strategic breakthroughs. Capital must be allocated to right beneficiaries; minimized to new construction projects and in accordance with the provisions of the Law on Public Investment.

The allocation must be concentrated, unified with goals and policies. It is necessary to maximally decentralize the allocation of public investment capital. The allocation must be focused on prioritized tasks, programs and projects; comply with priority order and ensure publicity, transparency and objectivity. It needs to resolutely eliminate the "ask-give mechanism", combat negativity, corruption, group interests, and implementing the motto "public investment shall lead private investment".

Localities that are allocated capital from the central budget for the 2021-2025 period must commit to allocating the missing capital from the local budget and other sources to complete the project on schedule.