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PM reviews financial sector in first six months


PM reviews financial sector in first six months

HÀ NỘI — Việt Nam's budget collection has seen a sharp fall during the first six months of  二0 二0 at just  四 四. 二 per cent of projected income, a  一0. 五 per cent drop compared to the same period last year, said the Ministry of Finance in an online meeting with Prime Minister Nguyễn Xuân Phúc in Hà Nội yesterday. 

Contributing factors included falling revenue from crude oil, which barely reached  六0 per cent of projected income.

Budget collection from domestic firms also fell by  七 per cent. The hardest-hit came from State-owned firms which saw a drop of  二 一. 五 per cent compared to the same period last year, followed by the private sector and FDI with  一 五 per cent and  六. 三 per cent, respectively.

This, according to the finance ministry, was an accurate reflection of the hardship faced by the economy due to the disruption caused by COVID- 一 九.

Measures have been taken to provide firms with support. By the end of June, Viêt Nam's tax authorities processed nearly  一 五0,000 tax and land-use fee relief applications extending an amount of VNĐ 四 三 trillion (US$ 一. 八 五 billion) in credit for firms and business households. 

During the first half of  二0 二0, the State spent over VNĐ 一 五. 三 trillion on COVID- 一 九 prevention activities (VNĐ 四. 一 trillion) and in support of  一 一 million affected households (VNĐ 一 一. 三 trillion).

Investment accounted for  三 三. 一 per cent of total budget spending with borrowing cost and normal expenditure accounting for  五0. 三 per cent and  四 八. 二 per cent respectively.

Despite experiencing setbacks, Việt Nam's stock market has yet to see any significant capital outflows. The market has remained stable and on its track to recover strongly as COVID- 一 九 was put under control, showing investors' confidence in the country's long-term growth potential.     

On administrative reform, the ministry has removed  二 八 procedures with  五 六0 others that have been made available online. Most firms ( 九 九. 六 per cent) have started to use electronic tax forms.

Speaking at the meeting, PM Phúc said the ministry must stay proactive in their approaches to balance the State's budget while, at the same time, create momentum for the economy to recover and achieve sustainable growth. 

PM reviews financial sector in first six months

"We must stand behind and support new business models, new materials, new energies and new drivers for economic growth,"大众he said.

The leader ordered government agencies to increase effort to improve transparency, reduce risk and combat illegal economic activities and violations. He insisted on the importance of keeping inflation under  四 per cent this year, in line with a recent National Assembly decision. 

In addition, the PM urged the finance ministry to help speed up the disbursement of public investment capital, saying the country's objective was to spend up to $ 三0 billion in  二0 二0. 

He asked the Ministry of Finance and the Ministry of Planning and Investment to hold regular meetings to identify bottlenecks and difficulties in the disbursement process. He also called for the forming of central government task forces to inspect slow-moving projects across the country under the direct supervision of the ministers. Localities and ministries failing to keep up the pace by August will risk losing their investment to others. — VNS

PM reviews financial sector in first six months


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