VOV.VN - An array of State–funded projects have had their investment capital adjusted by two to three times against the initial projections, with some even seeing investment capital leap by up to 39 times.

Dung Quat - Sa Huynh coastal road project in Quang Ngai province had adjusted
its investment capital for six times, thus making the total capital jump over three
times to VND5.654 trillion (US$243.12 million). (Source: baoquangngai.vn)

Finance Minister Dinh Tien Dung, who was authorized by the Government to deliver the State budget settlement report for 2017 to the National Assembly (NA), said at the ongoing seventh NA session on May 20 that the total balance of revenue had reached VND1,683,045 billion (US$72.37 billion).

In particular, the total State budget expenditure was recorded at VND1,681,414 billion (US$72.30 billion), including the budget transferred from 2017 to 2018. The State budget deficit was recorded at VND136.963 trillion (US$5.88 billion), equal to 2.74 per cent of GDP.

Nguyen Duc Hai, Chairman of the NA Finance and Budget Committee, said the disbursement of State budget within the 2017 basic construction investment capital scheme stood at 86.3 per cent - the slowest pace seen over the past five years.

Nguyen Duc Hai - Chairman of the National Assembly's Finance and Budget Committee.

Shortcomings and inaccuracy in defining the total investment capital has lingered over a large number of projects as they had the investment capital adjusted for several times.

According to the committee, the State budget deficit fell due to the sluggish disbursement of public investment, not due to the country’s tight borrowing policy.

The Government should therefore pay more attention to regulating the use of the State budget while stringently curbing public debts in a bid to increase the possibility of paying debts directly from the budget surplus.

Most notably, Ho Duc Phoc, auditor general of the State Audit Office of Vietnam, claimed that Dung Quat - Sa Huynh coastal road project in the central province of Quang Ngai had adjusted its investment capital for six times, thus making the total capital jump over three times to VND5.654 trillion (US$243.12 million).

In addition, the investment capital set for Tan My irrigation system project in the central province of Ninh Thuan rose by 105 per cent to VND2.687 trillion (US$115.54 million).

Of note, a training center project by the Vietnam Development Bank in the central province of Khanh Hoa, after adjustments made to its scale and utility, saw the total investment capital skyrocket by 39 times to VND275 billion (US$11.82 million).