Support to remove financial and state budget problems

Recently, the survey team of the State Treasury (KBNN) in coordination with the GIZ Project (the unit sponsoring the activities of the Ministry of Finance) and the State Treasury Region XIX, the Department of Finance of Can Tho City organized a conference to discuss the implementation of the state budget settlement management in 2024 and 2025. This is an opportunity for the State Treasury to listen to the difficulties and problems of localities in the process of managing the state budget settlement in accordance with regulations, in accordance with practical operations after implementing the 2-level local government model and merging provincial administrative boundaries.

Budget spending units discuss State budget data at the State Treasury of Region XIX. Photo: Contributor

Identifying difficulties

According to the State Treasury of Region XIX, after the arrangement, Can Tho City has 103 commune-level administrative units (31 wards, 72 communes); there are 2,491 transaction units with professional departments at the headquarters of the State Treasury of Region XIX and transaction offices from No. 01 to No. 12 under the State Treasury of Region XIX. Implementing the 2-level local government model and arranging provincial-level administrative units, the work of synthesizing and preparing the 2024 local State budget settlement report has been prepared, ensuring the deadline according to the direction of the Ministry of Finance and the provisions of the 2015 State Budget Law. The State Treasury of Region XIX has completed the reconciliation and transfer of data sources for expenditures transferred in 2024, and at the same time completed the work of accounting for the settlement of local budget revenues and expenditures, meeting the requirements for handing over and receiving data related to the 2024 State budget settlement. Regarding the work of synthesizing and preparing the 2025 State budget settlement report, the State Treasury of Region XIX has done a good job of reconciling data on revenues, expenditures, and deposits with transaction units. Timely opening of accounts for transaction units after the merger and closing of accounts when the units cease operations.

According to Mr. Duong Thanh Binh, Deputy Director of the State Treasury Region XIX, in general, the handover of 2025 State budget revenue and expenditure data from the old unit to the new receiving unit belonging to the provincial and commune-level units when implementing the 2-level local government model was carried out promptly, meeting management requirements. Regarding the State budget revenue and regular expenditure data belonging to the district-level budget, the Department of Finance of Can Tho City is submitting to the People's Committee of Can Tho City for approval of the financial handling plan and designating the unit to receive the State budget revenue and expenditure data belonging to the district-level units (before dissolution) at the end of June 30, 2025 to manage, monitor and handle the remaining steps according to the provisions of the State Budget Law. In addition to the achieved results, the allocation of budget estimates to communes and units is still slow, with the potential risk of work piling up at the end of the year. The transfer of databases from the old unit to the new unit is not yet synchronized... The work of preparing state financial reports still has some cases of delays, errors and inconsistent data between budget levels, and has not fully synthesized information on state infrastructure assets.

According to Mr. Diep Minh Tuan, Deputy Director of the Department of Finance of Can Tho City, implementing the directives of the Central Government and the City People's Committee, the management of revenue and expenditure, and settlement of the State budget according to the 2-level local government model still faces many difficulties. For the settlement of the State budget at all levels, the preparation stage is very urgent, the financial and budget work closely follows the law, decrees and guiding circulars, and any problems are resolved immediately. After the establishment of the new Can Tho City, almost all the thematic sessions of the People's Council have content related to financial and budgetary matters, there are thematic conferences that only serve the financial and budgetary field. However, there are still contents that have not been submitted for approval due to problems with the legal basis and expenditure norms. The difference in expenditure norms of the 3 old localities (Can Tho, Hau Giang, Soc Trang ) affects the case of wanting to increase the expenditure norms according to the actual operations of the unit after the merger, but there is no basis for implementation...

Timely accompaniment and support

At the conference to discuss the implementation of the state budget settlement management in 2024 and 2025, the State Treasury's survey team noted the difficulties and problems of communes and wards in the management of state budget revenue and expenditure and the preparation of state budget settlement reports and state financial reports in 2024 and 2025; the impacts of the implementation of a two-level government on the management of state budget revenue and expenditure, state budget settlement, review of settlement data, cases of advances and refunds of advances for budget-using units; instructions on reviewing data on fixed assets at units, infrastructure assets invested by the State to prepare state financial reports...

According to the working group, there will be many changes to the 2025 financial report due to the application of Circular No. 24/2024/TT-BTC, dated April 17, 2024 of the Ministry of Finance on guidelines for administrative and career accounting regimes and guiding circulars. Accordingly, the reporting period of the consolidated province will be from July 1 to December 31, 2025. In the process of preparing state financial reports, budget-using units need to proactively coordinate with specialized agencies of the Department of Finance and regional State Treasury to compare, review, ensure accuracy and consistency of data.

According to the State Accounting Department (under the State Treasury), according to the 2024 general inventory report conducted by the Department of Public Asset Management, Ministry of Finance in July 2025, the general situation nationwide is that the data on the inventory and review results report compared to the financial reports of localities has a difference. After grasping the situation, the Department of Public Asset Management and the Department of Accounting and Auditing Management and Supervision have finalized a plan not to adjust the 2024 report but to explain. In particular, the large difference is often in infrastructure assets, so the City Department of Finance and the State Treasury of Region XIX jointly participate in reviewing and explaining these differences; it is necessary to specifically classify infrastructure assets managed and directly exploited by localities or infrastructure assets that are only assigned for management.

According to Ms. Nguyen Thi Hong Nhung, Deputy Head of the State Accounting Department, in general, the management of the State budget in 2025 will have many changes and complications. The strong initiative from the local side is very important. Therefore, the Ministry of Finance and the State Treasury regularly strengthen coordination with localities to promptly grasp information from the grassroots, ready to hold hands and guide to support localities in handling difficulties in the work of settling the State budget and reporting on state finances. The working group also visited localities, recorded common and specific difficulties according to local characteristics. For issues beyond the authority of the State Treasury, they will synthesize and submit to relevant authorities for support.

MINH HUYEN

Source: https://baocantho.com.vn/ho-tro-thao-go-vuong-mac-ve-tai-chinh-ngan-sach-nha-nuoc-a193645.html