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State-funded projects get less capital next year
13/11/2012

The Government plans to continue to tighten the allocation of capital for new State-funded projects next year.

The move is part of a State budget capital-allocation plan announced by the Ministry of Planning and Investment.

Under the plan, the Government will set capital-allocation priorities for major national projects and projects related to national defence, security, borders and islands. Investment focus will also be given to projects involved in agricultural, forestry and fishery areas.

In addition, the Government will use State budget funds as corresponding capital for Official Development Assistance (ODA) projects. Capital from the State budget and Government bond capital will be given only for urgent, new projects.

Authorised ministries, branches and localities will have to ensure a sufficient supply of capital for any project that was expected to be completed this year or before this year.

Projects to start in 2013 will likely receive State budget capital or Government bond capital if they are listed in an investment plan that has been approved by authorised agencies and are in line with the Directive No. 1792/CT-TTg of November 12, 2011.

Projects will also be required to have capital origins identified and sufficient capital balance to ensure that they will be implemented on schedule, thus limiting waste of State budget funds. — VNS

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