A series of ministries and localities have proposed to return investment plans from the central budget in 2020 to transfer to other units.

Illustrative photo: Internet

The Government has released a report to the National Assembly on the performance of the adjustment of investment plans from the central budget in 2020 between ministries, central agencies and localities according to Resolution No. 122/2020 / QH14.

Accordingly, following the resolutions of the National Assembly, the Government and the direction of the Prime Minister and based on the actual disbursement of investment capital of projects, five ministries, central agencies and five localities in 2020 proposed to return the investment plans from the central budget in 2020 to allocate to other units, with a total amount of more thanVND576 billion.

Specifically, the Ministry of Planning and Investment returned more than VND365 billion, the Party Central Office VND52 billion, the Committee for Ethnic Minorities VND50.25 billion, Government Office VND10 billion, and State Capital Management Committee in enterprises VND1.6 billion.

Ho Chi Minh City returned more than VND35.9 billion, Can Tho more than VND27.8 billion, Binh Duong VND14.145 billion, Nghe An VND10.552 billion and Gia Lai more than VND9.4 billion.

As of September 30, 2020, Nghe An province has not disbursed more than VND10,552 billion under the Prime Minister's Decision No. 2086 / QD-TTg, so this amount will be returned to the Central budget to allocate to other units.

The above amount of more than VND576 billion has been added to the investment plans from the central budget in 2020 for 16 localities, including: Cao Bang VND20 billion, PhuThoVND30 billion,Dien BienVND30 billion, Nghe An VND115 billion, Ha Tinh VND46.6 billion, Quang Binh VND30 billion, Quang Tri VND29.994 billion, Quang Nam VND25 billion, ThuaThien Hue VND50 billion, Phu Yen VND30 billion, Gia Lai VND38.257 billion, Ben Tre VND30 billion, An Giang VND30 billion, Binh Phuoc VND40 billion, Tien Giang VND12 billion and Ca Mau VND20 billion.

In addition, the foreign investment from the Central budget which has been allowed by the Prime Minister to be adjusted between ministries, central agencies and localities is more than VND15.100 billion, reported by the Government.

The ministries and central agencies returning the investment include: Planning and Investment, Agriculture and Rural Development, Education and Training, Natural Resources and Environment, Health, Culture, Sports and Tourism, Industry and Trade, National Defense, Vietnam Academy of Science and Technology and Hoa Lac High-Tech Park Management Board.

The localities returning investment are: Ha Giang, Lao Cai, Yen Bai, Thai Nguyen, PhuTho, Bac Giang, HoaBinh, Son La, Lai Chau, Hanoi, Hai Phong, Quang Ninh, Hai Duong, Hung Yen, Vinh Phuc, NinhBinh, Thai Binh, Nghe An, Quang Binh, Quang Tri, ThuaThien Hue, Da Nang, Quang Nam, Quang Ngai, Phu Yen, KhanhHoa, NinhThuan, BinhThuan, Dak Lak, Gia Lai, Lam Dong, Ho Chi Minh City, Dong Nai, Binh Duong, Ba Ria Vung Tau, Long An, Tien Giang, Ben Tre, Vinh Long, Can Tho, HauGiang, An Giang, Dong Thap, KienGiang and Ca Mau.

All of the above ministries, central agencies and localitieshave proactively proposed to return the foreign investment plansfrom the central budget in 2020 to allocate to units that are in need of additional investment.

According to the Government, the proposal of the ministries, central agencies and localities on reducing the significant amount of foreign capital investment plans from the central budget in 2020 comes due to both objective and subjective reasons.

Objectively, projects funded by ODA loans and foreign concessional loans are affected by the Covid-19 pandemic more seriously than domestic projects.

This is because most their activities are associated with foreign factors from importation of machinery and equipment to foreign experts, workers, contractors, consultation and supervision anddonors.

However, the main subjective reason is due to the fact that ODA planning is not close to the actual needs. Projects that need additional investment are not disbursed in a timely fashion, are insufficiently allocated or receive insufficient reciprocal capital.

Besides, the readiness in project preparation is not good. Compensation and site clearance for ODA projects still faces difficulties and problems in harmonizing domestic procedures and donors’ policies.

In Resolution No. 86/2019 / QH14 dated November 12, 2019 on the state budget estimate for 2020, the 14th National Assembly approved the investmentplan of VND470,600 billion from the State budget in 2020. In which, domestic investment was VND410,600 billion and foreign investment was VND60,000 billion.

In Resolution No. 952 / NQ-UBTVQH14 dated May 28, 2020, the Standing Committee of the National Assembly allowed transferring the medium-term public investment plan for the 2016-2020 period and annually from the Ministry of Transport to the People's Committee of Da Nang City for the project of a different level intersection at Hue intersection, Da Nang city.

Specifically, the investment to ministries and central agencies was VND106,340.595 billion (domestic capital was VND84,824.645 billion; foreign capital was VND21,515.950 billion), accounting for 22.6% of the total investment plan in 2020.

Investment capital to localities wasVND364,259.405 billion (domestic capital was VND325,775.355 billion; foreign capital was VND38,484.050 billion), accounting for 77.4% of total investment plan in 2020. In which investment capital from the local budget was VND250,600 billion andCentral budget VND113,659.405 billion.