More than 80 percent of National Assembly deputies accepted forecast Government overspending equal to 5.3 percent of Gross Domestic Product when they endorsed next year's budget estimates on Nov. 10.
Their resolution accepts total State budget revenue at 595 trillion VND (29.8 billion USD), or 26.2 percent of GDP.
But it would total 605 trillion VND (30.3 billion USD) if 10 trillion VND (500 million USD) from late 2010 revenue is included.
State expenditure is forecast to total 725 trillion VND (36.3 billion USD).
National Assembly Finance and Budget Committee chairman Phung Quoc Hien said the deputies had also accepted the Govern-ment's assurance that fiscal policy would be cautiously implemented with budget revenue and expenditures strictly controlled.
But the deputies had called for the Government to first lessen next year's forecast overspending and then continue to reduce it, he said.
The deputies suggested that anticipated increased budget revenue of at least 30 percent should be used to reduce the overspending.
"The deputies asked the Government to build a public debt management strategy to 2020 and 2030 to secure the nation's finances," the chairman said.
They also strongly recommended that the Government reinforce its management of revenue collection to reduce overdue tax payments and fraud.
An estimated 143 trillion VND (7.2 billion USD) of next year's State budget would be used to fund social welfare projects, the Finance and Budget Committee chairman reported.
This would include adjustment of the poverty standard and health insurance for the underprivileged, the almost-poor and children under six; increased agricultural and rural investment and wage reform.
In addition, the minimum wage would increase from 730,000 VND to 830,000 VND together with rises in retirement pensions and preferential subsidies as of May 1.
The majority of deputies had also agreed with the issuance of Government bonds worth 45 trillion VND (2.3 billion USD) for public works to be approved by the National Assembly Standing Committee.
The sale of the bonds were believed essential for socio-economic investment and irrigation infrastructure.
The budget resolution also endorsed 15 Government-recommended national target programmes of political and social significance.
But the deputies had required the Government to establish criteria, amounts and methods of capital allocation for these programmes and to report to the Standing Committee for assessment before January 31, 2011.
Most of the deputies also agreed with the necessity and scope of the proposed changes to the Securities Law which took effect in 2007 at the day's session.
Deputies Cao Sy Kiem, northern Thai Binh Province; Nguyen Van Thoi, northern Thai Nguyen province; Nguyen Minh Thuyet, northern Lang Son province; and Vu Viet Ngoan, central Khanh Hoa province, argued for stricter management of the stock market because of its importance to the economy.
They complained that lax regulations governing licences had enabled the mass establishment of securities and fund management companies so small and inefficient they had adversely impacted on the capital market.
The revised Securities Law should strengthen the State's ability to limit monopolies and make securities investment and trade more transparent, the deputies said.
"The Securities Law is highly specialised and the issuance of directions must be timely and comprehensive, said deputy Kiem.
"Otherwise, the market will be in disorder and the impact will be great because securities market is a market of faith," the deputy said.
Deputy Tran Du Lich, HCM City, said the securities market was one of the three components of the financial market.
"The impact of the securities fever in mid-2006 and early 2007 which took the VN Index to above 1,000 points remains," he warned.
"If it happens again, we will lose investor belief."
Finance Minister Vu Van Ninh said the existing law gave the Securities Committee the power to exercise great independence in managing share market.
However, it should also give the committee power to examine activities which might concern the market and fraud.
"The Finance Ministry recommended inclusion of this power in the new law but we have received different opinions about it," he said.
"It will be really good if our recommendation is included in the legislation."
Assembly deputy chairman Nguyen Duc Kien warned that such empowerment of the Securities Committee to quote evidence of fraud and market manipulation should be carefully considered.
They could relate to the public's right to private mail and bank-deposit security.
Lawmakers on Nov.10 discussed the bill on complaints and denunciations and are working to make sure the law is enforcebale by the time it's implemented next year.
The draft specifically deals with pressing issues such as legitimate procedures that must be taken to denounce someone, how competent authorities should handle such cases, different forms of denouncement and effective ways to protect whistle-blowers.
The draft law on complaints and denunciations was submitted to the National Assembly, along with the bills concerning independent auditing and archives.
The Law on Complaints and Denunciations aimed to institutionalise Party and Government's policies that concern denouncement, said Government's General Inspector Tran Van Truyen at the eighth plenary session on Nov. 10 in Hanoi. The legislation would help boost the effectiveness of the Government's management as the country continued to industrialise and integrate into the international community, said Truyen.
Effective management plays an important role in social development, said Truyen. The General Inspector said effective management would be able to cope with accusations, which would enhance social development.
"The law, hence, would help effectively deal with the abuse of power and corruption," said Truyen.
The other draft law submitted on the day concerned independent auditing. The legislation hoped to improve the State's management and independent auditing activities.
"The law seeks to promote auditing, which would improve financal and economic transparency," said Minister of Finance Vu Van Ninh.
The law was congruent with the country's market-oriented economy and international integration roadmap, said Ninh.
The draft law would allow people with foreign professional certificates to work as auditors in Vietnam.
The Law on Archives, which was also submitted to the NA on Nov. 10, aims to build on the Ordinance on National Archives that was previously passed.
The Ordinance, which was passed eight years ago, had shortcomings, said Minister of Home Affairs Tran Van Tuan.
"A number of regulations in the Ordinance are not feasible and unclear," said Tuan. "Many new circumstances have arisen and they cannot be practically addressed by the law."
According to the draft, classified State documents will be open to public in 40-60 years.
"This is a step forward to reforming procedures and opening up the archives to the public," said Tuan.
The three draft laws will be further discussed at the on-going plenary session and are expected to be approved at a session next year./.
