Public investment capital disbursement remains slow
Only over VND220.7 trillion (US$9.7 billion) worth of public investment capital was disbursed by the end of August, or 40.6% of the plan assigned by the Prime Minister.
The figure was 5.8% lower than the same period last year. Of which, the disbusement of domestic capital reached 44.7% while that of foreign capital hit 7.94% compared to 21.26% recorded in the same period last year, said the Finance Ministry.
So far, 10 ministries and 26 localities have recorded disbursement of over 40% of the plan.
Meanwhile, 33 out of 50 ministries and 18 out of 63 localities disbursed below 30%, with 21 ministries and one locality below 10%. Four ministries have not yet made disbursement.
The Finance Ministry attributed the slow disbursement to COVID-19 outbreaks in many localities and the suspension of projects in areas under social distancing order in line with the Prime Minister’s Directive No.16/CT-TTg.
Other causes relate to site clearance, changes in planning in several loclaities, and import of equipment in need of foreign consultants’ approval.
Moreover, localities and several foreign sponsors have yet to reach consensus on project implementation process, including in the control of expenditures and disbursement.
Asso. Prof Dinh Trong Thinh suggested cutting down unnecessary procedures and improving the role of management agencies in planning, appraisal and bidding.
The Finance Ministry also urged centrally-run agencies and localities to seriously follow the Prime Minister’s directions in Dispatch No.1082/CD-TTg dated August 16, 2021 on stepping up disbursement of public investment capital 2021.