In the current economic climate, speeding up public investment disbursement has been identified as a critical task and a vital engine for recovery and growth.

While many localities have made encouraging progress in the first five months of 2025, others are still plagued by bottlenecks that threaten key project timelines and socio-economic objectives.

Proactive localities drive results

The public investment disbursement outcomes in early 2025 reveal stark contrasts among provinces. Those that have actively addressed challenges are posting strong disbursement rates, advancing major projects. In contrast, others lag behind due to passive attitudes and administrative restructuring.

Leading the country is Phu Tho province, which has disbursed 74.9% of the capital allocated by the Prime Minister.

Treating this as a political priority, the province set up a special task force led by the provincial Chairman to monitor projects closely, accelerate construction, and reallocate funds from slow-moving projects to those with better disbursement potential.

However, Phu Tho still faces challenges such as land clearance delays and rising material costs. Provincial leaders have ordered aggressive action to resolve compensation issues and ensure timely handover of land to contractors.

Thanh Hoa also reported strong results, disbursing 57.8% of its 2025 public investment budget. Key construction sites - such as the Bim Son-Nga Son road and Hoang Hoa-Lach Sung coastal road - are progressing well. Yet, some sections face setbacks due to land clearance and rising costs of sand, stone, and landfill materials.

To resolve these issues, the province launched interagency inspections, cracked down on illegal mineral extraction, and streamlined licensing and bidding for construction material sites.

Senior leaders conducted on-site reviews and categorized projects based on capital absorption capacity, ensuring smooth project transfers during administrative mergers.

In Ha Giang, the Tuyen Quang-Ha Giang expressway project is under high-intensity construction with over 360 machines and thousands of workers operating around the clock.

The provincial investment board monitors progress weekly and promptly certifies completed work to release funds.

As a result, VND635 billion (approx. US$25 million) has been disbursed this year - 60% of the total construction contract value.

Persistent bottlenecks remain

Conversely, Ho Chi Minh City - the locality with the largest public investment allocation - has only disbursed VND8.7 trillion (US$344 million), or 10.2% of its planned budget. Despite a slight improvement from 2024, this falls short of the midyear goal of 30%.

According to Finance Department Director Le Thi Huynh Mai, the main obstacles are delays in land compensation and sluggish action from local authorities.

Some units cite administrative restructuring as a reason for inaction, contributing to poor disbursement results, especially for large-scale projects scheduled for major spending in Q4.

Similarly, Dong Nai province - also with a sizable investment budget - has only disbursed 19% of its VND16.6 trillion (US$656 million) allocation as of June 18. Even with a projected rate of 34% by month’s end, this remains below the national average.

Vice Chairman Ho Van Ha admitted this is unacceptable, especially after launching a 45-day campaign to speed up spending. Delays in land clearance have stalled major projects like the Bien Hoa-Vung Tau expressway.

In mountainous Cao Bang province, disbursement stood at just 30.5% by the end of May. Land acquisition, adverse weather, and a lack of building materials continue to hinder progress. Internally, some project managers lack capacity and initiative, while poor coordination between departments causes administrative delays.

With limited time left in the year, localities must act decisively to resolve bottlenecks and eliminate complacency. Achieving full disbursement of the 2025 budget is not only a matter of timelines but also a political responsibility for each province, sector, and department leader.

Prime Minister requests addressing bottlenecks in public investment disbursement

VOV.VN - Prime Minister Pham Minh Chinh, while chairing a Government meeting on public investment in Hanoi on May 20, asked ministries, sectors, and localities to identify bottlenecks and take responsibility for underperformance, in an attempt to accelerate public investment disbursement.