Removing obstacles to recurrent expenditures.

According to the Ministry of Finance , the estimated state budget expenditure for 2025 is approximately 2,548.9 trillion VND (including the amount used from the accumulated funds for salary reform of the central budget and the remaining funds from salary reform of local budgets at the end of 2024 transferred to allocate the 2025 budget for ministries, central agencies, and localities).

The projected budget for development investment expenditure is 790.7 trillion VND, accounting for approximately 31% of the total state budget expenditure. However, according to feedback from ministries, sectors, and localities, the renovation and upgrading of small-scale infrastructure using public investment capital has encountered many difficulties due to its exclusion from the medium-term public investment plan. While the State Budget Law does not prohibit the use of recurrent expenditure for asset procurement, it also lacks clear regulations distinguishing between investment and recurrent expenditure for these activities. Meanwhile, the preparation, management, and use of recurrent state budget expenditure for asset and equipment procurement; and the renovation, upgrading, expansion, and new construction of project components within existing investment projects are facing numerous bottlenecks. This poses significant challenges for recurrent budget expenditure in 2025.

Mr. Hoang Van Cuong, a National Assembly representative from Hanoi, believes that the goal of law is to ensure objective, fair, and equitable work, and to best meet the needs of reality. However, life is constantly changing; legal tools can sometimes be slow to adapt, unsuitable, overlapping, or overly detailed. This prevents law enforcement officials, who must comply with the law, from making reasonable and appropriate decisions to better meet practical needs and promote development.

Faced with shortcomings that need to be addressed promptly to create momentum for socio-economic development, the Government has promptly issued Decree 138/2024/ND-CP regulating the preparation of estimates, management, and use of recurrent expenditures from the state budget for the procurement of assets and equipment; renovation, upgrading, expansion, and new construction of project components in already invested construction projects. The Decree is expected to remove many bottlenecks that have existed for many years.

Furthermore, at the 8th session of the 15th National Assembly, Deputy Prime Minister and Minister of Finance Ho Duc Phoc stated that in this revision and amendment of several articles of the State Budget Law, the Government proposes amending and supplementing the mechanism to allow localities to use local budgets to invest in the construction of infrastructure projects funded by the higher-level budget within their jurisdiction, support other localities, and provide aid. The Government also proposes amending and supplementing regulations on state budget expenditures to carry out certain tasks from both investment and recurrent expenditure sources, such as preparing and approving public investment projects using ODA funds and preferential loans from foreign donors; purchasing, repairing, renovating, and upgrading assets and equipment; renting goods and services; repairing, renovating, upgrading, expanding, and constructing new project components within already completed projects...

The Deputy Prime Minister stated that such a proposal is very appropriate. In particular, Decree No. 138/2024/ND-CP was issued very promptly and immediately meets practical needs, resolving emerging issues that have been hindering progress in recent years. The Decree demonstrates the collaborative spirit of the management agencies. From now on, ministries, sectors, and localities will proactively use recurrent expenditures to implement tasks and projects outside the approved medium-term public investment plan, taking initiative in carrying out assigned tasks, especially those related to socio-economic development.

Source: https://thoibaonganhang.vn/go-kho-cho-chi-thuong-xuyen-157359.html