Financial sector’s State budget collection expected to hit 58.4 bln USD hinh anh 1The financial sector’s State budget collection expected to hit 58.4 bln USD in 2021 - Illustrative image (Photo: VNA)

Hanoi (VNA) - The financial sector expects to collect over 1.343 quadrillion VND (58.4 billion USD) for the State budget in 2021, equivalent to 15.5 percent of the country’s gross domestic product (GDP), said the Ministry of Finance.

The proportion of domestic revenues and revenues from crude oil and import-export activities are expected to account for 84.4 percent, 1.7 percent and 13.3 percent of the total, respectively.

Meanwhile, the year’s budget spending is forecast to reach 1.687 quadrillion VND, 60.1 trillion lower than the estimate in 2020.

In the 2021-2023 period, the sector aims to collect 4.33 quadrillion VND (187.6 billion USD) for the State budget, equivalent to 15.5 percent of the GDP.

Domestic revenue is hoped to account for 85-86 percent of the State budget’s revenue by 2023.

Budget spending is expected to stand at 5.4 quadrillion VND, while State budget overspending is equivalent to 3.8 percent of the GDP. Public debt will be equivalent to 48.1 percent of the GDP by 2023.

The ministry said serious impacts from the COVID-19 pandemic has caused challenges to the midterm State budget plan in 2021-2023 in ensuring the roadmap of implementation of wage reform and adjustments of social allowances and poverty standards.

In order to fulfill the State budget-finance tasks in 2021, the financial sector will continue to fine-tune the system of collection policies and institutions, create a favourable, transparent and fair investment and business climate, and consider implementing tax and fee exemptions and reductions and extension policies to support enterprises amid difficulties caused by the COVID-19 pandemic.

Due attention will also be given to strengthening the management of revenues, combating revenue losses, and promptly detecting and strictly handling acts of smuggling, trade frauds, production of and trading in counterfeit goods, transfer pricing, tax invasion and tax fraud, and abuse of tax refund policies.

The MoF will also focus on speeding up the disbursement of public investment, especially for key projects of the country and those serving interregional socio-economic development./.