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Increase measure to meet socio-economic development targets (11/10/2017)

HNP - According to report of Ha Noi Authority of Plan and Investment, in the past nine months of 2017, Ha Noi witnesses good growth of economy. Total product increases 8.1%; investment and business environment is improved; urban order and civilization has significant progress, and social security and order is ensured. However, after conducting supervision sessions in districts and suburban districts, the Municipal People’s Council concerns that without drastic measures, Ha Noi might not reach some targets in the last quarter.

Forecast are not accurate yet

 

According to report of the Department of Finance, state budget revenues of Ha Noi in 2017 are expected to be VND 207,628 billion, equaling 101.4% of the plan given by Municipal People’s Council; budget revenues of districts, suburban districts and towns are expected to be VND 73,887 billion, meeting 114% of the plan. However, disbursement of capital construction capitals in eight month is low, meeting only 41% of the plan at city-level and 58% of plan at district-level. The Department of Finance points out some reasons, such as slow progress of projects, programs on agriculture development and high-quality human resources, and unfulfilled dossiers for expenses for urban public services like passenger transport, dyke maintenance, public lighting, trees and water drainage.   

In 2017, over VND 600 billion is mobilized for capital construction in Thanh Tri suburban district; the local People’s Council allocated VND 582 billion for 92 projects. However, the district has successfully disbursed only 30.72% of the workload. There are several reasons for the slow disbursement, such as lack of decision on targeted financial support, inaccurate forecast on land use tax, and unstable revenue resource (land use tax of enterprises).

Another reason is concentrated procurement of public assets in Ha Noi. According to the regulation, Ha Noi plans concentrated purchase in two periods; however, some projects fail to meet the plan. According to Chairwoman of the Long Bien District People’s Committee Vu Thu Ha, since project verification, consideration and estimates are not in conformity with city’s plan, the projects make slow disbursement, slow progress and therefore fail to meet political tasks of the district.

Measures will be increased

Speaking at a working session with Department of Finance, supervision team of Municipal People’s Council requested the Department to act as advisor to the Municipal People’s Committee and find out measures to accelerate disbursement of capital construction fund, particularly check progress of investment projects to amend and mobilize resources for urgent projects.

Pursuant to Director of the Department of Finance Ha Minh Hai, districts and towns of which land use revenues are less than estimates should disburse capital construction funds accordingly. If revenues fail to meet estimates and there is no other income resource, the districts and towns should amend the plan.

For purchase of public assets, districts and towns urge specialized bodies to speed up verification and consideration of construction drawings and cost estimates, finalize technical specifications of the properties and equipments, so that units can prepare, approve plan and purchase the assets comprehensively.

In order to avoid capital construction debts, the People’s Council deputies urges Municipal People’s Council to direct specialized departments to review city-level projects; districts as well as towns to review unresolved projects with slow progress under their management, and conducting disbursement accordingly. Furthermore, the departments shall act as advisor to the People’s Committee in amending capitals properly.

By Mai Phuong

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