Phung Quoc Hien, chairman of the National
Committee for Financial and Budgetary Affairs, told Hai quan (Customs)
newspaper that Viet Nam's spending structure was ‘irrational'.
Recurrent spending accounts for 70
per cent of the country's total budget. What's your assessment of this?
The spending structure for the State Budget in 2013 was
totally irrational. Investment spending installment was reduced considerably
compared to several years. It was much lower than the approved figure.
Recurrent spending in 2014 increased to 67-70 per cent from 60 per cent in
2011-2012.
The main reason for the recurrent spending hike was the
money mainly borrowed to feed our people. However, budget spent on social
security was much lower than demand.
What's your position about the fact
that development investment capital at present depends mainly on Official
Development Assistance (ODA) funds?
I have to concede we are starting to have policy debts,
including a debt to build houses for people who have aided our revolutionary
services, and debts relating to health care and education. From our revenue,
most is reserved to pay for our national debts, particularly ODA.
It is high time for us to recalculate and balance the
national budget to our financial capacity. Other factors that make our
revenue smaller, include the extension and even reduction in tax payments.
For example, at present enterprise tax has been reduced to 20 per cent from
32 per cent.
If thrift is well practised, for
example 10 per cent in the current spending, can we use the sum to increase
salaries for public servants as was done in past years?
In reality, we have cut down on our recurrent spending
by 10 per cent. This will allow us to set aside VND6 trillion ($286 million).
But we need up to VND40 trillion ($1.9 billion) to increase each person's
wages by VND100,000 ($4.7).
How do you respond to the 2012 State
Budget report by the State Audit of
The figure of $30.8 million is huge while we often talk
about the need for financial discipline. I hope with the enforcement of the
2013 Constitution, it will not be so easy to spend money from the State
budget as in the past. Payments must be approved by authorised agencies in
accordance with budgetary plans.
Do you think it is feasible to cut
down recurrent spending by 50 per cent by 2020 as proposed by your committee?
I think it is feasible if we strictly practice thrift!
VNS
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Chủ Nhật, 2 tháng 11, 2014
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