Press Release: On the implementation of 04/2019 and 05/2019 workplans

Press Release: On the implementation of 04/2019 and 05/2019 workplans 19/05/2019 04:00:00 493

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on the implementation of 04/2019 and 05/2019 workplans

of the Finance Ministry

I. REVIEW ON THE IMPLEMENTATION OF 04/2019 WORKPLAN

1Completion of financial mechanisms and policies.

In 04/2019, the Ministry of Finance was assigned to draft four schemes. As of April 30, 2019, all four projects are in the process of drafting and completingFor projects under its authority, the Ministry of Finance, has issued 8 Circulars by 26/04/2019.

2. The implementation of state budget estimates and administration of state budget revenues and expenditures

2.1 Results of implementing state budget estimates

2.1. 1 State budget revenue

State budget balance in April is estimated at 133.9 trillion dong. Accumulated revenue in 4 months reached VND 517.87 trillion, or 36.7% of the annual estimate, up 13.9% compared to the same period of 2018, in which:

- Domestic revenue: estimated at VND 111.6 trillion, excluding the recovery of state capital invested in economic organizations, an increase of nearly VND 26 trillion compared to the previous month. Four months’ accumulated revenues at 424.96 trillion VND, or 36.2% of the budget year, an increase of 14% over the same period of 2018 (33.9% of the budget year or an increase of 16%).

- Revenues from crude oil:  estimated at VND 4.7 trillion. Accumulated 4-month revenue was estimated at VND 18.29 trillion, or 41% of the annual estimate.

- Revenue from import and export activities: April is estimated to reach VND 17.2 trillion. Accumulated revenue in 4 months was estimated at VND 73.9 trillion, or 39.1% of the annual estimate, up 17.3% compared to the same period of 2018, on the basis of total estimated revenue of VND 111.6 trillion VND, or 37.1% of the annual estimate, up 21.6% over the same period in 2018; Value-added tax refund was about 37.7 thousand companies ̉ VND, or 33.9% of the annual estimate.

2. 1. 2. Budget expenditure

April was estimated at VND 114.2 trillion; 4 months' expenditure was 429.8 trillion dong, or 26.3% of the annual estimate , up by 4.4% compared to the same period of 2018,  in which: development investment expenditure reached 68.5 trillion VND, or 16% of the annual estimate, an increase of 5.4%; interest payment was 39.69 trillion dong, or 31.8% of the annual estimate , down 4.9%; recurrent expenditure reached VND 319.68 trillion, or 32% of the annual estimate , up 5.4% over the same period in 2018.

2. 1. 3. State budget balance and capital mobilization

State budget in April and 4 months experienced a surplus, in that context, the Ministry of Finance has actively administered the issuance of Government bonds in order to both use the state budget effectively and ensure the payment source and timely pay the original debts, contribute to orienting the market development, restructuring public debt. In total, VND 82 trillion of Government bonds were issued (excluding VND 7 trillion of debt issuance with Vietnam Social Insurance according to the Resolution of the National Assembly), with an average term of 12.51 years , the average interest rate is 4.92% / year .

In April, the State Treasury held 03 bond auctions, mobilizing VND 7,451 billion. As of April 26, 2019, the total mobilized volume reached VND 83,919.5 billion, reaching 27.34% of the assigned plan (VND 307,000 billion)

2.2. The administration of the state budget

2.2.1. The administration of state budget collection

- Domestic revenue: Along with the positive development of the economy from the end of 2018 until now, the production and business activities of some industries in the first months of 2019 maintained a high growth rate compared to same period. The tax agency has focused on collecting revenue right from the beginning of the year, examining tax declaration, tax finalization of enterprises, promptly collecting the arising amounts into the state budget. The results of tax declaration and payment of enterprises in the first 4 months of 2019 were relatively positive and uniform in major economic sectors.

It was estimated that there were 52/63 domestic collecting localities reaching the estimated progress (over 32%), of which the tax collection of 40 localities reached over 35% of the estimate; 56/63 localities collected higher than the same period.

- Revenues from import and export activities: Customs authorities have actively strengthened post-customs clearance inspection; coordinate closely with functional forces to fight against smuggling, trade frauds and fake goods; thereby there was a positive impact on the revenue of this area

2.2.2. Administration of state budget spending

- In the first 4 months of the year, the State Treasury system has examined about VND 293 trillion of investment and regular state budget spending, thereby discovering 1,130 expenditures that have not yet been completed procedures according to regulations, requesting additional requirements for the necessary procedures and rejecting payment for the actual amount of VND 3.9 billion.

- Government debt repayment in April 2019 was about VND 13,068 billion, of which domestic debt payment was about VND 11,336 billion and foreign debt payment was about VND 1,732 billion. Accumulated repayment of the Government for the first 4 months of the year was about VND 113,626 billion, of which domestic debt payment was about VND 96,307 billion, and foreign debt repayment was about VND 17,319 billion.

3The results of the implementation of some key tasks

In April 2019, continue to implement Decision No. 89/QD-BTC dated 08/01/2019 issuing Action Plan to implement Resolution No. 01/ NQ-CP dated 01/01/2019 of the Government; Decision No.90/QD-BTC dated 08/01/2019 to implement Resolution No. 02 / NQ-CP of the Government dated 01/01/2019, the Ministry of Finance has achieved the following results:

3. 1Public asset management

The Ministry of Finance had Official Note No. 3934 / BTC-QLCS dated April 2, 2019 to report to the Prime Minister on the implementation of the Law on management and use of public assets and some documents regulating law implementation details; instructing the ministries and localities in implementing the contents related to collecting land use levy and land rent ; exemption and reduction of land use levies for people with meritorious services to the revolution; organizing inspection team to examine the status of houses and land as representative offices and guest houses of ministries and central agencies in Ho Chi Minh City under the direction of the Prime Minister.

3. 2Administration of corporate finance and equitization, divestment of state-owned enterprises

In the first 4 months of the year, the Ministry of Finance actively coordinated with ministries and localities to focus on reviewing and evaluating the implementation of the Party and State policies on equitization and state capital divestment of enterprises

Because in the early months of the year, the ministries, branches and localities mainly focused on reviewing and evaluating the implementation of the equitization policy and plan, so only 2 enterprises got approval for equitization plan with a total value of VND 295 billion, of which the state capital value was VND 276 billion; 09 businesses in the list under Decision No. 1232 / QD-TTg, divested the capital with the value of VND 759 billion, collecting VND 4,657 billion.

3. 3Administration of price and market.

The Ministry of Finance has closely coordinated with functional ministries and agencies in the price administration of important and essential goods and public services managed by the State (petrol, electricity and medical services with health insurance, educational services  ) to control the price level, sudden and unreasonable price increases. At the same time, strengthening the examination and inspection of the compliance with the law on prices; closely monitoring registration and price declaration activities of enterprises. Thereby, the prices of domestic goods and services remained stable, with no major changes.

3.4. Financial market management and financial services

- For the stock market: The stock market continued to maintain a good growth momentum in the first 4 months of 2019, creating favorable conditions for the Government and enterprises to issue bonds, stocks and mobilize capital for State budget and for development investment. As of April 26, 2019, the VN-Index reached 979.64 points, an increase of 9.86% compared to the beginning of the year; capitalization scale reached about 77.6% of GDP, an increase of 8.4% compared to the end of 2018.

- For insurance market: in the first 4 months of 2019, the total value of insurance assets is estimated at VND 401.9 trillion, up 21.4% over the same period of 2018; investment in the economy is estimated at 328.7 trillion dong, up 26.5%; total equity is estimated at 83.3 trillion VND, up 18.3%; total insurance of premium revenue was estimated at VND 44.3 trillion, up 17%; insurance benefit payment is estimated at 12.5 trillion dong, up 31.2% over the same period in 2018.

   3. 5International cooperation

              The integration and financial cooperation activities of the Finance Ministry in April carried out the following activities: Minister of Finance attended the Finance Ministers' Meeting and ASEAN Central Bank Governor in Thailand and took over the role of President of the ASEAN Finance Ministers' Meeting in Vietnam in 2020; drafting Decree promulgating the preferential import tariff implementing the trade agreement Vietnam- Cambodia; coordinating with the Government Office to finalize the Decree promulgating the Preferential Export Tariff, the Preferential Import Tariff, to implement the CPTPP Agreement. ..

3. 6External finance and public debt management

In the first 4 months of 2019, 01 foreign loan agreement worth about 188.36 million USD was signed. As of April 20, 2019, the disbursement of ODA and preferential loans in 2019 was about 915 million USD, equivalent to about VND 21,004 billion đồng.

3.7. Management of state reserves

Implementing the tasks assigned by the Prime Minister, from the beginning of 2019 up to now, the General Department of Reserves has provided support to Yen Bai province with 404.76 tons of rice; forest planting: 1,833 tons / 3,418 tons for localities; rice to support students.

3. 8Inspection, inspection, anti-smuggling, commercial fraud

In April 2019, the Ministry Inspectorate and other relevant units under the Ministry carried out inspection and examination work according to the 2019 plan approved by the Ministry. The whole financial sector have made 33.055 inspections, examinations, administrative sanctions worth 420.694 million dongs; collecting and remitting VND 716,554 million to the state budget. Accumulated in the first 4 months of 2019, the entire finance sector has made 91,945 inspections, inspections and administrative sanctions of VND 854,525 million; collecting VND 2,104,363 million to the state budget .

II. MAJOR WORKPLANS IN MAY 2019

1. Mechanisms and policies

In May 2019, the Ministry of Finance is responsible for submitting to the Government and the Prime Minister 5 projects and issuing 25 Circulars.

2. Some key tasks in May in 2019

The functional agencies continue to actively implement the tasks and solutions under the Action Plan of the Ministry of Finance in Decision No. 89/ QD-BTC dated 08/01/2019 promulgating the Action Plan to implement the Decree Resolution No.01/NQ-CP dated 01/01/2019 of the Government; Decision No. 90 / QD-BTC dated 08/01/2019 to implement Resolution No. 02 / NQ-CP dated 01/01/2019 of the Government and the working program for 2019.

2. 1. Implementation of state budget estimates and administration of state budget revenues and expenditures

- In May, the Ministry of Finance will continue to review and complete detailed outline on the assessment of 10 year financial-budget strategy from 2011 to 2020; Developing a 10 year Strategy for 2021-2030 and a 5-year budget and financial plan for 2021-2025; Continue to improve the draft report on macroeconomic stability solutions for Laos...

- Direct Provincial Departments of Tax and Customs, city to focus on the tasks of state budget revenues, strengthen the inspection and examination; settle tax debts. Based on the reports of the Departments of Tax and Customs, the situation of state budget collectioand tax debts will be analyzedhaving timely solutions for causes of increase and decrease in localities.

- Instruct the State Treasury of localities to review and adjust the state budget data in 2018, shifting the source of state budget of 2018 to 2019; continue to review, compare and adjust the state budget’s revenue and expenditure data, 2018 source transfer.

- Summarize the comments of the ministries and localities on the draft decision to amend and supplement some articles of Decision No. 60/2015 / QD-TTg dated November 27, 2015 of the Prime Minister on the mechanism of financial management on social insurance, health insurance, unemployment insurance and management costs of health insurance, social insurance and unemployment insurance; continue to complete the Report on Social Development for the Socio-Economic Development Strategy for the period 2011-2020 and 2021 - 2030.

- Coordinate with the Ministry of Planning and Investment on the evaluation of capital projects financed by the 10% reserve capital of localities and medium term contingency of 2016-2020; Complete the summary of detailed allocation of the state budget investment plan in 2019 according to the Ministry of Planning and Investment's decision on allocation; Incorporate the development investment capital plan and the state budget capital plan of 2019 of the ministries and localities; Complete data for mid-term public investment plan report 2016-2020 and annual plan.

- Continue to improve the master plan of national reserve warehouse system in the period of 2021-2030; national reserve development strategy till 2030, orientation to 2040; report to the Prime Minister on rice provision for students in the school year of 2018-2019; the aid of 5,000 tons of rice for international cooperation.

2. 2. Public asset management

Organize online conferences to assess the implementation of the Law on Management and Use of Public Property in 2017; Report to the Prime Minister the results of examining the status of houses and land as representative offices, guest houses of ministries and central agencies in Ho Chi Minh city as directed by the Prime Minister; Continue to rearrange and settle state-owned houses and land of ministries and central agencies.

2. 3Administration of budget, capital mobilization, public debt

- Continue to coordinate with the General Departments of Tax Customs to develop the process of collecting state budget through revenue identification code ; Organize the budget management, ensure the payment needs of the State budget; 

Submit the report on public debt to the Government and National Assembly; The Circular guiding the Decree to replace the Government's Decree No. 93/2009/ND-CP of October 22, 2009, promulgating the Regulation on management and use of foreign non-governmental aids; Circular guiding forms of reporting on financial management for projects using foreign ODA and preferential loans.

2.4. Corporate finance management and SOE equitization

Focus on submitting the schemes and policies to the competent authorities with the main contents including policy mechanisms related to the assigned fields 

2. 5Strengthening price management the market stabilization

Actively monitor the development of the global and domestic petrol prices in order to work out a plan to manage petrol and oil prices in May 2019; coordinate with the Ministry of Industry and Trade to manage petrol prices in accordance with current regulations. Report on analysis and forecast of consumer price index, Report on implementation of Resolution No. 01 / NQ-CP dated January 1, 2019 by the Government, reporting on the Executive Board meetings of the domestic market, macroeconomic administration, National Monetary and Financial Policy Council...

2. 6Financial market management and financial services

- Continue to complete the draft Law on Securities (amended) as planned; evaluate the offer for sale, issue according to regulations, closely monitor post-sale activities to ensure the compliance with regulations the rapid capital increase, the private issuance while facilitating the businesses; tightly supervise securities transactions with abnormal signs; promptly coordinate with 2 Stock Exchanges to analyze, conduct regular and irregular supervision and inspection.

- Submit to the competent authorities and continue to develop projects and policies including development policies and mechanisms and legal documents of the Ministry.

2. 7International cooperation

              The Ministry of Finance 's integration and financial cooperation activities in May 2019 : Attending the Minister of Finance and the Central Bank Governor of ASEAN +3 in Fiji ; Completing and submitting to the Government Decrees promulgating the Special Preferential Tariff for the implementation of the Free Trade Agreement; Organizing Asian Public Expenditure Management Network Conference (PEMNA).

              2. 8Inspection and inspection work

Ministry Inspectors and functional agencies under the Ministry continue to conduct inspections as approved in 2019 plan; Submitting to the Ministry a draft report on the implementation of the direction of the General Secretary and the State President at the 15th session of the Central Executive Committee on anti-corruption; Continuing to implement the report of the Government 2018 on thrift practice and waste combat.

 Above is a summary of information about the implementation of financial tasks - the state budget in April 2019 and tentative workplan of the Ministry of Finance in May 2019The Ministry of Finance requests press agencies to coordinate in communications. /.

Recipients:

- Central Propaganda Committee;       

- Ministry of Information

and Communications;       

- Government Office ;

- Ministry leaders ;

- Press agencies ;  

- Government Information Center Portal ;              

- Portal of the Ministry of Finance ;

- Archive: Registry, Office.

 

 

              

 

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TL . MINISTER

CHIEF OF STAFF

 

 

(Signed)

 

 

 

 

 

Chief of Ministerial Office

(Signed)

Tran Quan