Deputy Minister Nguyen Duc Chi said the consistent spirit of the draft Decree is to promote decentralization and delegation of power. (Photo: CTV/Vietnam+)

On July 7, the Ministry of Finance chaired a conference to discuss and seek opinions from ministries, central and local agencies on the draft Decree detailing the implementation of a number of articles of the State Budget Law No. 89/2025/QH15. This is an important step to soon put the progressive provisions of the Law into practice, creating a solid legal framework for public financial management in the new development stage.

According to Deputy Minister Nguyen Duc Chi, this is an important law project with a very wide scope, affecting all sectors, fields and localities, making an important contribution to realizing the country's socio-economic development goals in the new era, the era of the country's "rising forward".

To make this fundamental law effective, the National Assembly assigned the Government to detail 26 contents and the National Assembly Standing Committee to specify 4 contents. The Ministry of Finance has presided over the drafting of 6 Government Decrees and 3 Resolutions of the National Assembly Standing Committee.

The draft Decree being put out for comments this time is of particular importance, as it will detail 20/26 contents assigned by the National Assembly and replace Decree No. 163/2016/ND-CP which has been applied for nearly a decade. This shows a comprehensive change in the thinking and method of State budget management.

The Decree will clarify the mechanism for localities to use development investment capital from local budgets for key infrastructure construction projects. (Photo: Contributor/Vietnam+)

The draft Decree focuses on addressing three key groups of issues, considered the three pillars of the new budget management mechanism.

One is to perfect the budget cycle and overcome existing shortcomings. This is a comprehensive content, related to the entire budget life cycle, from the stages of budget preparation, implementation, settlement to publicity. The goal of the Decree is to overcome limitations and shortcomings to review and amend them to comply with the provisions of Law No. 89/2025/QH15 and to suit reality. This means that "bottlenecks" in capital allocation, management, and settlement that cause difficulties for localities and ministries will be focused on removing, creating transparency and efficiency in management.

Second is to "unleash" development investment and strengthen regional linkages. The Decree will clarify the mechanism for localities to use development investment capital from local budgets for key infrastructure construction projects. A new breakthrough point is the regulation that a locality can use its budget to support another locality. This regulation is expected to break the local mindset, promote regional linkages, and create conditions for localities with stronger economic potential to join hands to support localities with difficulties, for the common development goal of the country.

Third is to standardize the preparation of 5-year financial plans. Specifically, in order to enhance the vision and strategy in financial management, the Decree will synthesize and provide detailed instructions on the development of 5-year financial plans. This tool will help ministries, branches and localities to escape the short-term, year-by-year budget management mindset, instead adopting a medium-term vision, closely linking resource allocation with long-term socio-economic development goals.

Deputy Minister Nguyen Duc Chi said the consistent spirit of the draft Decree is to promote decentralization and delegation of power. The Decree aims to simplify procedures, create maximum initiative for ministries, branches and localities in the entire budget cycle while promoting the responsibility of leaders and individualizing responsibilities.

In order for the Decree to truly come into effect, delegates focused on in-depth discussions and frank comments on the issues. Specifically, the method of determining deficit, debt management, support mechanisms for extra-budgetary financial funds, the authority of the Provincial People's Council in issuing specific local spending norms; Budget preparation work associated with clear division of responsibilities and timelines.

Regarding budget execution, delegates focused on discussing the procedures for adjusting budget estimates, using increased revenue sources, rewarding excess revenue, etc., standardizing the procedures for handling source transfers and budget surpluses. In particular, the public mechanism for community monitoring and the 5-year financial plan need to have detailed instructions on the basis, requirements and procedures for preparation...

According to baotintuc.vn

Source: https://huengaynay.vn/chinh-tri-xa-hoi/luat-ngan-sach-nha-nuoc-2025-cong-khai-va-tang-phan-cap-phan-quyen-155413.html