Thailand
Vietnam budget spending in 2022 accounts for 3.6 percent of GDP
The Finance Ministry reported to the National Assembly that the state budget expense in 2022 was VND342.6 trillion, making up 3.6 percent of the national GDP. This is a drop of VND61.7 trillion compared to estimation of 4.3 percent of GDP.
Accordingly, the central state budget spending decreased by VND45.9 trillion (US$1.96 billion) while the figure for local one also fell by VND15.8 trillion ($673 million). At the end of last year, the public debt balance, the Governmental debt balance, and the country’s foreign debt occupied 38 percent, 34.7 percent, and 36.8 percent of the national GDP, respectively.
The total budget revenues of Quarter 1-2023 reached VND494 trillion ($21.1 billion), equal to 30.5 percent of the estimation. This is a rise of 2.2 percent compared to this time last year. Meanwhile, the total budget expenses were at VND363.4 trillion ($15,5 billion), accounting for 17.5 percent of the estimation and an increase of 7.2 percent as opposed to 2022.
The national economy for the rest of the year is forecast to face several challenges from inflation pressure, risks in the finance-banking market, disasters and epidemics, climate change. They, to a large extent, negatively affect the fulfillment of missions for socio-economic growth and finance-budget this year. Therefore, the Finance Ministry has proposed certain solutions to overcome these obstacles.
Firstly, it will continue to administrate the state budget expenses effectively and economically within the amount decided by the National Assembly. Secondly, it will review and cut any regular spendings allocated to ministries and central state agencies but not yet disbursed to budget-using units by June 30, 2023.
As to financial aids to the public and businesses, the Finance Ministry said that the total volume of tax, fee, and land rent exemption, reduction, and extension until the end of 2022 reached VND200.3 trillion ($8.54 billion).
At the same time, by the end of last year, the state budget had supplied VND4.4 trillion ($185.9 million) to 32 areas in the country to support laborers in paying house rent fee in compliance with Decision No.08/2022/QD-TTg, issued by the Prime Minister on March 28, 2022. The national budget has also compensated commercial banks and Vietnam Bank for Social Policies for the gap in credit interest rate of 2 percent with the amount of VND859 billion ($36.6 million).
Source: SGGP