In the context of Vietnam’s slow economic development; enterprises suffering losses, being dissolved or stopping operation; and weak demand and supply, the Vietnam Government continues requiring the responsible agencies and local authorities to save 10 percent of regular budget spending for the last months of 2013.
On May 24, 2013, the Prime Minister issued Directive 09/CT-TTg on enhancing the implementation of financial – budgeting task of the Government in 2013 to achieve the highest result in receiving and spending the state budget according to the plan approved by the National Assembly.
The Prime Minister required the responsible agencies and local authorities to save 10 percent of the budget spending for the last months of 2013 (excluding salaries and allowances). The reduced or postponed spending includes unnecessary spending; spending on equipment or cars. The Prime Minister also demanded a reduction in organising national conferences and seminars, opening ceremonies and inaugurations; to save at least 20 percent of expenses for electricity, water and communications; as well as to save at least 30 percent of estimated expenses disbursed for organising festivals, receiving guests, and domestic and international business trips.
As for investment and regular expenses planned for 2013 that are either disbursed or implemented till June 30, 2013, they should be reduced or recovered to supplement backup for the state budget or local budgets.
At the same time, it is necessary to push up implementation and disbursement of capital for investment and development, especially investment from the State Budget, government bonds, capital for national target programmes and ODA.
On the other hand, the Prime Minister also required ministries, agencies and local authorities to handle difficulties for enterprises, solve inventories, effectively solve bad loans, expand consumption markets; complete the submission to relevant authorities to approve the plan of restructuring national groups, corporation and enterprises before June 30, 2013. The State Bank of Vietnam must manage flexibly monetary policies to control inflation; continue lowering interest rates; strive to achieve loan growth rate of 12 percent for the year of 2013.
To solve difficulties of capital for enterprises, the Government issued several new regulations on state investment loan and export loan. From May 22 2013, the Vietnam Development Bank (VDB) is allowed to extend loan time for several projects and enterprises that suffered losses in 2011 and 2012, do not have capital to repay loans in compliance with contracts signed the VDB.
Particularly, loan time is extended to maximum 15 years for state investment loans for large scale economic infrastructure projects (group A and group B) in fields of electricity, water, cement, steel, environment; maximum 36 months for state export loans for products such as vegetables and seafood.
The Government also supplemented regulations on granting loans for enterprises to buy feed for seafood for export at the same mechanism of export loans, with maximum loans of 85 percent of capital for buying feed assessed by the VDB. Each object can borrow maximum 15 percent of chartered capital of the VDB. Loan time is estimated according to creditworthiness of each object, but not exceeding 12 months.
Thanh Yen
Đăng ký: VietNam News
