Despite signs of recovery in the economy during the first half of the year, many difficulties and challenges remain, impacting State budget revenues and spending.
According to the Ministry of Finance (MoF), State budget revenues during the first six months reached over 356 trillion VND (some 16 billion USD), only 43.7 percent of forecast. Domestic revenues achieved only 43.3 percent of estimates, the lowest level for the past several years.
Major contributors to the State budget such as Hanoi , Ho Chi Minh City , Hai Phong and Da Nang also reported domestic revenues at under 50 percent of the yearly budget collection estimates.
During the same period, state budget spending totalled 448.9 trillion VND (21 billion USD), equivalent to 45.9 percent of estimates, up 7.5 percent over last year’s first half.
At this pace of collection and with some upcoming tax preferential policies, the MoF forecasts that there is a big possibility that the state budget revenue will decrease, while new demands are arising in budget spending.
For the remaining half of the year, ministries and related agencies are urged to boost production and business development, timely remove difficulties for enterprises, strictly control the budget collecting and spending, settle debts and practise thrift.
In order to remove difficulties and foster production and business, the ministry has, together with the State Bank of Vietnam , evaluated the situation and drafted a proposal on measures to settle bad debts in the credit institution system.
The ministry is also working on a decree on debt management and settlement of bad debts in State-owned enterprises (SOEs).
In addition, the ministry has submitted to the government proposals on stepping up SOEs’ withdrawal of capital from non-core business areas.-VNA
According to the Ministry of Finance (MoF), State budget revenues during the first six months reached over 356 trillion VND (some 16 billion USD), only 43.7 percent of forecast. Domestic revenues achieved only 43.3 percent of estimates, the lowest level for the past several years.
Major contributors to the State budget such as Hanoi , Ho Chi Minh City , Hai Phong and Da Nang also reported domestic revenues at under 50 percent of the yearly budget collection estimates.
During the same period, state budget spending totalled 448.9 trillion VND (21 billion USD), equivalent to 45.9 percent of estimates, up 7.5 percent over last year’s first half.
At this pace of collection and with some upcoming tax preferential policies, the MoF forecasts that there is a big possibility that the state budget revenue will decrease, while new demands are arising in budget spending.
For the remaining half of the year, ministries and related agencies are urged to boost production and business development, timely remove difficulties for enterprises, strictly control the budget collecting and spending, settle debts and practise thrift.
In order to remove difficulties and foster production and business, the ministry has, together with the State Bank of Vietnam , evaluated the situation and drafted a proposal on measures to settle bad debts in the credit institution system.
The ministry is also working on a decree on debt management and settlement of bad debts in State-owned enterprises (SOEs).
In addition, the ministry has submitted to the government proposals on stepping up SOEs’ withdrawal of capital from non-core business areas.-VNA
