Vietnam government struggles with overspending

HCM palaceVietnam’s Prime Minister Nguyen Tan Dung told a National Assembly session opening on October 21 that state budget overspending this year would likely be significantly higher than desired, Thanh Nien News reported.

Dung made the statement while delivering a report on the country’s current socio-economic situation that estimated Vietnam’s GDP growth at 5.4 per cent this year. He told lawmakers that state budget overspending in 2013 may reach 5.3 per cent of GDP, while the government’s goal was to keep it below 4.8 per cent.

According to the report, total public spending this year will reach an estimated at $46.75 billion, 0.8 per cent higher than the government’s budget forecast. This is the first time the government has conceded that state budget overspending has exceeded the ceiling rate set by the National Assembly, Vietnam’s legislature, earlier this year.

Early in October, the government urged the house to increase the debt ceiling from 4.8 per cent of GDP this year to 5.3 per cent next year, saying it needs money for public spending. However, no one from the government or the Ministry of Finance mentioned state budget overspending at the committee meeting.

Dung reassured the house that Vietnam’s government debts, public debts and foreign debts were still “at safe levels”. The prime minister also pointed to some positive developments in his speech. He said inflation has been cut from 18.13 per cent in 2011 to 6.81 per cent in 2012, and is expected to hover around 7 per cent this year.

He also mentioned that the country is still enjoying “reasonable” growth and people’s living standards have continued to improve over the last few years.



Support ASEAN news

Investvine has been a consistent voice in ASEAN news for more than a decade. From breaking news to exclusive interviews with key ASEAN leaders, we have brought you factual and engaging reports – the stories that matter, free of charge.

Like many news organisations, we are striving to survive in an age of reduced advertising and biased journalism. Our mission is to rise above today’s challenges and chart tomorrow’s world with clear, dependable reporting.

Support us now with a donation of your choosing. Your contribution will help us shine a light on important ASEAN stories, reach more people and lift the manifold voices of this dynamic, influential region.

$
Personal Info

Donation Total: $10.00

 

 

Vietnam's Prime Minister Nguyen Tan Dung told a National Assembly session opening on October 21 that state budget overspending this year would likely be significantly higher than desired, Thanh Nien News reported. Dung made the statement while delivering a report on the country's current socio-economic situation that estimated Vietnam's GDP growth at 5.4 per cent this year. He told lawmakers that state budget overspending in 2013 may reach 5.3 per cent of GDP, while the government's goal was to keep it below 4.8 per cent. According to the report, total public spending this year will reach an estimated at $46.75...

HCM palaceVietnam’s Prime Minister Nguyen Tan Dung told a National Assembly session opening on October 21 that state budget overspending this year would likely be significantly higher than desired, Thanh Nien News reported.

Dung made the statement while delivering a report on the country’s current socio-economic situation that estimated Vietnam’s GDP growth at 5.4 per cent this year. He told lawmakers that state budget overspending in 2013 may reach 5.3 per cent of GDP, while the government’s goal was to keep it below 4.8 per cent.

According to the report, total public spending this year will reach an estimated at $46.75 billion, 0.8 per cent higher than the government’s budget forecast. This is the first time the government has conceded that state budget overspending has exceeded the ceiling rate set by the National Assembly, Vietnam’s legislature, earlier this year.

Early in October, the government urged the house to increase the debt ceiling from 4.8 per cent of GDP this year to 5.3 per cent next year, saying it needs money for public spending. However, no one from the government or the Ministry of Finance mentioned state budget overspending at the committee meeting.

Dung reassured the house that Vietnam’s government debts, public debts and foreign debts were still “at safe levels”. The prime minister also pointed to some positive developments in his speech. He said inflation has been cut from 18.13 per cent in 2011 to 6.81 per cent in 2012, and is expected to hover around 7 per cent this year.

He also mentioned that the country is still enjoying “reasonable” growth and people’s living standards have continued to improve over the last few years.



Support ASEAN news

Investvine has been a consistent voice in ASEAN news for more than a decade. From breaking news to exclusive interviews with key ASEAN leaders, we have brought you factual and engaging reports – the stories that matter, free of charge.

Like many news organisations, we are striving to survive in an age of reduced advertising and biased journalism. Our mission is to rise above today’s challenges and chart tomorrow’s world with clear, dependable reporting.

Support us now with a donation of your choosing. Your contribution will help us shine a light on important ASEAN stories, reach more people and lift the manifold voices of this dynamic, influential region.

$
Personal Info

Donation Total: $10.00

 

 

NO COMMENTS

Leave a Reply