Measures of managerial competence

According to data from the Ministry of Finance, as of May 14th, the disbursement of public investment capital from the state budget reached VND 166,018.4 billion, equivalent to 16.4% of the plan assigned by the Prime Minister. If we exclude the 5% savings in local government budget public investment expenditures intended for the Lao Cai - Hanoi - Hai Phong railway project, the disbursement rate would be approximately 16.9%.

However, 27 central ministries and agencies, and 18 localities still have disbursement rates lower than the national average; 14 units have almost not disbursed funds or have only achieved less than 1%. These figures show that the long-standing "bottlenecks" in the disbursement of public investment capital have not been thoroughly resolved.

According to Deputy Minister of Finance Tran Quoc Phuong, this situation is due to the fact that the implementation of public investment is affected by many legal regulations, especially those related to land, site clearance, project appraisal, and adjustment of total investment. In addition, there are obstacles in the process of determining land prices and approving compensation and resettlement support plans.

Regulations regarding land-use conversion remain complex; the procedures for project appraisal, approval, technical design, and cost estimates involve many steps and overlaps between agencies. Rising construction material prices and high transportation costs, coupled with insufficient material supply in many localities, have led to delays in numerous projects. In particular, land clearance continues to be a major bottleneck due to difficulties in determining land ownership, compensation rates, and achieving consensus with local residents.

To address these bottlenecks, the Ministry of Finance has proposed a series of solutions, such as urging ministries, sectors, and localities to promptly complete the detailed allocation of capital plans for 2026. It also calls for reviewing and refining the list and priority order of projects in the medium-term public investment plan for the period 2026-2030.

Local authorities need to proactively ensure the supply of construction materials by improving planning and granting mining licenses. The Ministry of Construction should proactively monitor the construction materials market, coordinate with local authorities to closely track developments, and promptly guide contract adjustments in the context of sharply fluctuating material prices, while also proposing appropriate management solutions. The Ministry of Agriculture and Environment should promptly submit amendments to the Land Law in 2026, and proactively propose solutions to address any problems arising during the period awaiting the amendments.

Another solution is to strengthen discipline and order in public investment management, and strictly handle cases of delays and irresponsibility. Improve the staff, ensuring they have sufficient capacity to meet project implementation requirements. Streamline procedures and simplify payment documents to ensure timely disbursement of funds. Prepare payment documents immediately for completed work that has been inspected and approved, avoiding delays until the end of the month and the final months of the year...

Public investment acts as "seed capital," driving economic growth through infrastructure development, increased total factory output (TFP), and attracting investment. Furthermore, this capital creates a spillover effect; it is estimated that every 1% increase in public investment in GDP can boost GDP growth by 0.06% - 0.2% in the short term and have a positive impact in the long term.

Therefore, solving the disbursement problem is not simply a technical issue, but becomes a measure of the management and implementation capacity of each locality and each investor. As Prime Minister Le Minh Hung affirmed, the slow disbursement of capital is mainly due to subjective reasons; with the same legal framework, some ministries and localities disburse funds well, while others disburse slowly. Meanwhile, the removal of difficulties and obstacles is being implemented decisively, especially for long-standing stalled projects, for which the National Assembly has passed a Resolution on specific mechanisms and policies to address. If such difficult, complex, and challenging issues can be resolved very quickly, why can't the implementation of projects be accelerated? The same tasks cannot be accomplished without high determination, close and decisive guidance – Prime Minister Le Minh Hung emphasized.

Source: https://daibieunhandan.vn/thuoc-do-ve-nang-luc-dieu-hanh-10418643.html