Hanoi (VNA) - Public investment disbursement in the first two months of 2026 remained modest despite the year marking the start of the 2026–2030 medium-term public investment plan with record capital of over 995 trillion VND (37.9 billion USD), rising to more than 1 quadrillion VND when additional local allocations and extended funds are included.
As of February 28, total disbursed capital reached 55.74 trillion VND, equivalent to 5.6% of the plan assigned by the Prime Minister. Of the figure, disbursement of the central budget was estimated at 10.18 trillion VND, or 2.9% of the plan, while that of local budgets totalled 45.56 trillion VND, reaching 7% of the target.
Compared with the same period in 2025, the disbursement rate was similar in percentage terms but higher in absolute value by 10.93 trillion VND.
By the same date, six ministries and central agencies and 14 localities recorded disbursement rates equal to or higher than the national average. Meanwhile, 29 ministries and central agencies and 20 localities reported rates below the national average, including 25 ministries and central agencies with rates below 1% or without any disbursement.
Regarding the detailed allocation of the 2026 investment plan to specific programmes and projects, ministries, central agencies and localities had allocated 975.47 trillion VND by the end of February.
Aside from locally balanced budgets and extra funding provided by local governments, the detailed allocation reached 962.54 trillion VND, equivalent to 96.7% of the plan assigned by the Prime Minister. Unallocated capital amounted to 32.81 trillion VND, accounting for 3.3% of the assigned plan across 15 ministries and central agencies and 15 localities. Most of this capital is still undergoing procedures for project allocation.
According to the Ministry of Finance (MoF), delays in capital allocation are among the factors directly affecting disbursement progress in the early months of the year. In some cases, allocations have not complied with regulations, such as assigning capital to unqualified projects, those exceeding approved investment levels, or going beyond the permitted capital allocation period.
Disbursement progress is also typically slow at the beginning of the year as investors focus on completing procedures, implementing capital plans and continuing construction on ongoing projects. This year, the Lunar New Year holiday occurred later than usual, interrupting construction activities and reducing the volume of completed and payable work.
Beyond seasonal factors, several structural bottlenecks remain unresolved, including difficulties in compensation and site clearance, risks of shortages and price fluctuations of construction materials as many major projects are implemented simultaneously, and the impact of unusual weather conditions.
Several internal limitations have also been identified, including limited capacity and accountability among project investors, management boards and contractors, along with shortages of personnel in charge of public investment in some localities following administrative restructuring. Also, ODA-funded projects have not yet finalised legal procedures and therefore cannot be allocated capital.
To accelerate disbursement, the MoF said it will continue reviewing policy mechanisms while urging ministries, sectors and localities to speed up capital allocation and address implementation bottlenecks. Priority will be given to resolving site clearance obstacles and ensuring sufficient supplies of construction materials, particularly for key transport infrastructure projects./.
VNA
