Hanoi is striving to fulfill at least 95 percent of the public investment disbursement plan assigned to the capital in 2024

According to Deputy Minister of Planning and Investment Tran Quoc Phuong, the 2019 Law on Public Investment has introduced new, reformative, and breakthrough elements regarding public investment management, promoting decentralization and reducing administrative procedures. This has allowed for greater flexibility and enhanced the responsibility of the leaders of ministries, sectors, and localities in managing public investment. However, after a relatively short period of implementation, some provisions of the law have revealed certain issues that need to be addressed. Some regulations are no longer in line with reality and the demands for development in the new context. Notably, some pilot mechanisms and policies recently issued by the NA also need to be institutionalized in the upcoming law amendments.

Draft amendments to the Law on Public Investment currently seeking feedback from ministries, sectors and localities cover five policy groups: institutionalizing pilot mechanisms and specific policies that have been approved by the NA; further promoting decentralization; improving the quality of investment preparation, resource mobilization, and the capacity of localities and state-owned enterprises to implement public investment projects; accelerating the disbursement of official development assistance (ODA) capital and preferential loans from foreign donors; simplifying procedures and processes; and clarifying terms, concepts, and regulations to ensure consistency and synchronization within the legal framework.

“Comprehensive amendments to the Law on Public Investment are urgently finalized to be approved at the eighth NA session. The amendments are expected to fundamentally address challenges, limitations, bottlenecks, and obstacles, helping improve the efficiency of capital use and unlock resources for development,” Deputy Minister Tran Quoc Phuong said.

The amendments indicate 11 prohibited acts in public investment. These acts include making investment policy decisions or adjusting investment policies related to programs or projects that are not aligned with existing strategies and plans; deciding on investments in programs or projects that have not received approval from authorized entities; and abusing one’s position or authority to seek personal gain or engage in corruption in the management and use of public investment funds.

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Other acts, such as requiring organizations or individuals to invest their own capital when the program or project has not yet been approved, leading to outstanding construction debts; using public investment funds for improper purposes, exceeding the limits prescribed by the law; falsifying or distorting information, records, and documents related to investment policy decisions, investment decisions, and the implementation of programs or projects, are also among those prohibited.

According to Deputy Minister Tran Quoc Phuong, the revision of the Law on Public Investment is aimed at facilitating the disbursement of public investment capital, helping to prevent “fear of making mistakes, fear of responsibility, and hesitation” among officials and public servants. It also aims to implement regulations to protect officials who dare to think, act, and take responsibility for the common good.

Additionally, it ensures consistency and synchronization between the Law on Public Investment and other laws, such as the Law on State Budget, the Law on Management and Use of Public Property, the Construction Law, as well as the compatibility with agreements and international treaties involving Vietnam. At the nationwide online conference of the Government’s Standing Committee on promoting public investment in 2024 held in July, Prime Minister Pham Minh Chinh requested that Ministers, Department Heads, and Chairpersons of Provincial People’s Committees uphold a strong sense of responsibility and enhance the role of leaders in guiding and organizing the implementation. He emphasized the approach of “only moving forward, not backward”; regularly reviewing and pushing progress, promptly identifying and resolving problems that arise in each project, especially key projects; and individualizing responsibility down to each person./.