Term thinking delays capital allocation progress

Continuing the working program, on the afternoon of May 23, the Minister of Planning and Investment, authorized by the Government, reported on the assignment of the list and capital levels for tasks and projects under the Socio-Economic Recovery and Development Program; assignment, adjustment and supplementation of the Medium-term Public Investment Plan with Central budget capital for the period 2021-2025 and allocation of the Central budget capital investment plan in 2023 of the national target program.

Still pushing and avoiding responsibility

Minister Nguyen Chi Dung said that in Resolution No. 43, the National Assembly decided to increase spending from the State budget by a maximum of VND 176,000 billion, mainly implemented in two years (2022 and 2023) to support and invest in tasks and projects in each sector and field.

Based on the conclusions of the National Assembly Standing Committee, the Prime Minister has assigned a central budget investment plan for the program of about VND 161,848 billion. The remaining unallocated capital is VND 14,152 billion.

The Central budget capital plan for 2023 has been approved by the National Assembly at VND 338,415 billion, of which VND 137,844 billion is allocated for the tasks and projects of the Program. Most of the projects under the Program are newly started projects, and it is difficult to disburse all the allocated capital in 2023.

Regarding the remaining unallocated medium-term public investment plan of the central budget for the period 2021 - 2025, the National Assembly has decided that the total capital of the medium-term public investment plan for the period 2021 - 2025 is VND 2,870,000 billion. Of which, the State budget capital allowed to be allocated in detail is VND 2,720,000 billion (excluding the general reserve of VND 150,000 billion).

Event - Term thinking delays capital allocation progress — Minister of Planning and Investment Nguyen Chi Dung reports to the National Assembly (Photo: Quochoi.vn).

Accordingly, the Prime Minister has assigned details for each task and project of ministries, central agencies and localities of 2,440,007 billion VND. The remaining capital that must be reported to the National Assembly for comments before being assigned according to regulations is 279,992 billion VND. The progress of completing investment procedures for projects of ministries, agencies and localities from the remaining unallocated central budget capital is 142,992 billion VND.

Minister Nguyen Chi Dung said that the remaining central budget investment plan for 2023 of national target programs is VND 1,208,188 billion.

It is expected to allocate 183.1 billion VND of domestic capital to implement the national target program on socio-economic development in ethnic minority and mountainous areas for 4 ministries and central agencies; 1,025 billion VND of foreign capital according to the commitment with the sponsor to implement the national target program on new rural construction for 16 provinces participating in the implementation of the Investment Program on developing the grassroots healthcare network in difficult areas for support.

The Minister emphasized that the Socio-Economic Recovery and Development Program has created new development space, new driving force, and new capacity for industries, fields, and localities, contributing significantly to promoting economic growth, recovery, and development.

However, the completion of investment procedures for projects and capital allocation are still slow compared to the requirements of the National Assembly in Resolution No. 69, due to both objective and subjective reasons, of which subjective reasons are the main ones.

In particular, project preparation has not received due attention, and there is still a term-based mindset, with the previous term not preparing for the next term, leading to many new projects starting construction after the National Assembly approved the Medium-Term Public Investment Plan for the 2021-2025 period before investment preparation was carried out, or the project had to be adjusted, causing delays in capital allocation progress.

"The capacity for implementation in some places is still weak, not drastic, not effective; the role and responsibility of the leader has not been clearly demonstrated; not closely followed, lacking in urging and inspection; there is still a situation of pushing and avoiding responsibility; with the same legal framework, some places do well, some places do not do well," the Minister said.

Consider allocating resources

In the audit report, Chairman of the National Assembly's Finance and Budget Committee Le Quang Manh said that the disbursement of the Program's capital is very slow, from now until the end of 2023 there are only 6 months left to complete the implementation, disbursement according to the requirements of Resolution 43 is a huge pressure.

The majority of opinions of the Finance and Budget Committee recommended that the Government carefully consider allocating capital sources, and should base on a thorough assessment of the actual disbursement progress of each ministry, branch, and locality to propose capital allocation for eligible projects with disbursement capacity, ensuring feasibility, avoiding the situation of not fully disbursing, not meeting the requirements of Resolution 43.

Some other opinions said that disbursing projects under the Program in 2022 and 2023 is not feasible; they proposed reporting to the National Assembly to allow extending the implementation period to 2024 and 2025.

Event - Term thinking delays capital allocation progress (Figure 2). — Chairman of the National Assembly's Finance and Budget Committee Le Quang Manh (Photo: Quochoi.vn).

Regarding the allocation and assignment of the medium-term public investment plan of the central budget for the period 2021 - 2025, the majority of opinions of the Finance and Budget Committee said that ministries and localities have prepared and completed investment procedures for tasks and projects according to the provisions of the Law on Public Investment and Resolution No. 29 of the National Assembly.

The Finance and Budget Committee agreed with the Government's proposal to submit to the National Assembly a capital allocation plan for projects that have completed investment procedures, ensuring principles and criteria according to the provisions of the Law on Public Investment and the Resolution of the National Assembly.

The majority of opinions agreed to submit to the National Assembly a detailed plan for allocating the central budget investment plan for the national target program in 2023. However, there were opinions suggesting reviewing and considering the possibility of disbursing capital for the national target program in 2023; suggesting that the Government learn from experience and allocate capital early to have a basis for implementation, ensuring the possibility of early disbursement.

Some opinions say that, through actual implementation, the progress of disbursement of national target programs is slow, many localities are still confused in implementation due to the lack of complete implementation guidance documents.

Therefore, opinions suggest that the Government direct the review and issuance of missing guidance documents and amend and supplement inadequate documents to implement the 3 national target programs to ensure effective management, operation, and implementation; balance and allocate sufficient counterpart funds for implementation; have a mechanism to mobilize maximum resources to achieve the set goals and achieve practical results .

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