It is necessary to implement synchronous solutions to increase sustainable budget revenue.

At the National Assembly meeting on the afternoon of June 23, authorized by the Prime Minister, Minister of Finance Ho Duc Phoc reported on a number of main contents on the implementation of the state budget in 2023, the state budget estimate, the central budget allocation plan in 2024, and the 3-year state budget-finance plan for 2024-2026.

Budget revenue in 2023 is quite good in difficult context

Minister Ho Duc Phoc said that the state budget revenue in the first 9 months of 2023 was equal to 75.5% of the estimate. In the context of slow growth of the world economy and many difficulties in the domestic economy, the Government and the National Assembly have implemented many policies to exempt, reduce, and extend taxes, fees, and land rents. The estimated state budget revenue for the whole year is equal to the estimate assigned by the National Assembly; the mobilization rate into the state budget is about 15.7% of GDP.

If including the approximately 75 trillion VND reduction in revenue due to the implementation of preferential policies, tax exemptions and reductions, the state budget revenue for the whole year increased by about 4.6% compared to the estimate, which is a very positive level in the current context.

Regarding the 2023 State budget expenditure, it is estimated that the implementation in the first 9 months is equal to 59.7% of the estimate. Regarding the 2023 State budget balance, based on the assessment of State budget revenue and expenditure, the State budget deficit is estimated at about 4% of GDP. By the end of 2023, the indicators of public debt, Government debt, national foreign debt, and the Government's direct debt repayment obligations will be within the scope permitted by the National Assembly .

Regarding the State budget estimate and the Central budget allocation plan for 2024, Minister of Finance Ho Duc Phoc stated that the State budget revenue estimate for 2024 will increase by about 5% compared to the estimate and estimated implementation in 2023. The mobilization rate into the State budget will reach 15.3% of GDP.

Regarding the State budget deficit, closely following the target of the 5-year Plan according to the Resolution of the National Assembly, the State budget deficit estimate for 2024 is about 3.6% of GDP. By the end of 2024, the indicators of public debt, government debt, foreign debt of the country, and direct debt repayment obligations of the Government will be within the scope allowed by the National Assembly.

The Minister of Finance also reported to the National Assembly on the possibility of allocating resources to implement salary reform. Accordingly, with the estimated revenue and expenditure of the State budget in 2024, along with the use of a part of the accumulated salary reform resources of the central government and local government sources, it is expected to ensure sufficient resources to synchronously reform the salary policy according to Resolution 27-NQ/TW from July 1, 2024.

Regarding state budget expenditure, the Government proposed principles for arranging the 2024 state budget expenditure estimate, specifically ensuring that the total development investment expenditure is greater than the state budget deficit for tasks in the medium-term public investment plan according to the Law on Public Investment and other development investment expenditure tasks according to the State Budget Law.

Arrange for full and timely interest payments, reserve expenditures, and national reserves at a reasonable level to ensure timely handling of urgent tasks. Arrange resources for salary reform according to the Central's conclusions; Allocate resources to adjust and increase pensions, social insurance benefits, and monthly allowances for subjects guaranteed by the State budget; increase preferential regimes for people with meritorious services and some social security regimes to ensure partial compensation for inflation and additional increases; Implement national target programs, political, defense, security, and socio-economic development tasks.

According to the Minister of Finance, with the above state budget revenue and deficit levels, the estimated total balanced state budget expenditure in 2024 will increase by about 1.2% compared to the estimate in 2023.

Develop a 3-year plan in line with growth forecasts

Reporting on the 3-year State Budget - Financial Plan 2024 - 2026, the Minister of Finance stated that the 3-year State Budget - Financial Plan 2024 - 2026 was built with the expectation that the socio-economic situation will gradually improve, inflation will be controlled, and major balances will be ensured.

The State budget revenue estimate is built at a positive level, in line with the economic growth forecast. The State budget expenditure estimate is built tightly, in accordance with the provisions of law, prioritizing investment expenditure, thoroughly saving on non-urgent regular expenditure tasks, ensuring the obligation to pay interest on debt, aid, provisions, and national reserves.

According to Minister Ho Duc Phoc, at this Session, the Government also submitted to the National Assembly for consideration and decision the contents, specific figures and recommendations stated in the full Reports, including some contents, such as: Continuing to implement the environmental protection tax rate on gasoline, oil, and grease as Resolution No. 30/2022/UBTVQH15 dated December 30, 2022 of the National Assembly Standing Committee. At the same time, continuing to implement a 2% reduction in VAT rates as Resolution No. 101/2023/QH15 of the National Assembly in the first 6 months of 2024.

Decide on a number of reported contents, including: increasing the additional balance for the local budget in 2024; handling compensation for the balance of local budget expenditure; transferring the surplus from the previous year's salary reform of localities to arrange the 2024 local budget balance expenditure estimate to implement the basic salary level of 1.8 million VND/month.

Roadmap for implementing salary reform according to Resolution 27-NQ/TW; appropriate adjustments to pensions, social insurance benefits, monthly allowances, preferential allowances for meritorious people and a number of social security policies currently linked to the basic salary...

It is necessary to implement synchronous solutions to increase sustainable budget revenue.

Presenting the Audit Report on the implementation of the State budget in 2023, the State budget estimate, the allocation plan of the Central budget in 2024, the 3-year State budget - financial plan 2024 - 2026, Chairman of the National Assembly's Finance and Budget Committee Le Quang Manh said that although our country's economy faces many difficulties and challenges, with the efforts and determination of the Government, the management of the State budget has achieved many positive results.

The Chairman of the Finance and Budget Committee also requested attention to a number of issues. Specifically, the state budget revenue situation is estimated to have met the estimate but in fact there are still many potential risks when domestic revenue decreases. This shows that the economic situation is still difficult. State budget revenue is greatly affected by tax and fee exemption policies, but the Government's report has not yet quantitatively assessed the effectiveness of these policies. The Finance and Budget Committee also believes that the leading role of the central government is affected. Local budget revenue is uneven among localities, many localities are estimated to not meet the estimate, localities need to strive to complete the estimate.

Regarding state budget expenditure, the Finance and Budget Committee believes that the planned implementation of state budget expenditure reflects the Government's efforts, but it is still necessary to pay attention to a number of issues such as: Regarding the allocation of development investment expenditure estimates, the Government's report has not clarified the reasons for not fully allocating the decided capital plan. The progress of disbursement of development investment expenditure in the first 8 months of the year has had positive improvements compared to the same period in 2022, but has not yet met the requirements. It is necessary to continue to have specific and drastic solutions, associated with the responsibility of the head in implementing the disbursement commitment, proactively removing difficulties and obstacles. There is still a situation of outstanding debt in basic construction, and the advanced capital has not been fully recovered.

Regarding regular expenditures, the Finance and Budget Committee found that the allocated regular expenditures basically ensure the social security expenditure tasks and ensure the source to implement the minimum wage and pension increase.

Regarding the 2024 State budget estimate, the Finance and Budget Committee believes that the revenue estimate increase of 5% compared to the estimated implementation in 2023 is quite positive in the context of expected economic growth of about 6% - 6.5%, inflation of about 4% - 4.5%. However, the State budget revenue still contains risk factors and lacks sustainability when land revenue has a large increase.

Regarding the expenditure estimate, the Finance and Budget Committee noted the need to make a comprehensive assessment of the implementation of the salary reform policy and balance resources for 2024 - 2026, forecasting to 2030 to ensure feasibility and long-term sustainability in accordance with the spirit of Resolution 27-NQ/TW; it is necessary to implement synchronous solutions to increase sustainable budget revenue, avoiding passivity in resource allocation; recommending the need for flexible fiscal and monetary policies, with policies to encourage additional revenue sources in the next period; synchronously adjusting the basic salary level with innovation and restructuring the apparatus towards streamlining, effectiveness, efficiency, and linking with job positions.

Regarding the 3-year State budget financial plan for 2024 - 2026, the Finance and Budget Committee found that the planning closely followed the goals of the Party Congress and the Resolution of the National Assembly, was consistent with the development strategy of the sector and fields, and ensured key tasks; at the same time, it proposed more drastic solutions in managing State budget revenue and expenditure, striving to increase revenue.../.

Source link