What was approved in the 2025 state budget estimates in Vietnam?

What was approved in the 2025 state budget estimates in Vietnam?

Based on Article 1 of Resolution 159/2024/QH15, download, specific provisions on the approved content of the state budget estimates for 2025 are as follows:

Approval of the 2025 state budget estimates

[1] The state's budget revenue is 1,966,839 billion VND (one million, nine hundred sixty-six thousand, eight hundred thirty-nine billion VND).

[2] Utilize 60,000 billion VND (sixty thousand billion VND) from the central budget's accumulated funds for wage reform and 50,619 billion VND (fifty thousand, six hundred nineteen billion VND) from the local budget's wage reform funds remaining by the end of 2024 to allocate to the 2025 budget estimate of Ministries, central and local agencies to implement statutory pay rate of 2.34 million VND/month.

[3] The total state budget expenditure is 2,548,958 billion VND (two million, five hundred forty-eight thousand, nine hundred fifty-eight billion VND).

[4] The budget deficit level is 471,500 billion VND (four hundred seventy-one thousand, five hundred billion VND), equivalent to 3.8% of the Gross Domestic Product (GDP), including:

- A central budget deficit of 443,100 billion VND (four hundred forty-three thousand, one hundred billion VND), equivalent to 3.6% GDP;

- A local budget deficit of 28,400 billion VND (twenty-eight thousand four hundred billion VND), equivalent to 0.2% GDP.

[5] The total state budget borrowing is 835,965 billion VND (eight hundred thirty-five thousand, nine hundred sixty-five billion VND).

What was approved in the 2025 state budget estimates in Vietnam? (Image from the Internet)

What are regulations on the operation of the 2024 state budget of Vietnam?

Based on Article 2 of Resolution 159/2024/QH15, download, the specific regulations on the operation of the 2024 State Budget are as follows:

[1] Supplement the 2024 central budget revenue estimate with 21.284 billion VND in non-refundable aid and correspondingly supplement the 2024 regular expenditure estimate with 21.284 billion VND in non-refundable aid for Ministries, central agencies, and localities, including:

- Vietnam Union of Friendship Organizations with 2.115 billion VND for administrative management expenses;

- Ministry of Transport with 0.567 billion VND for education and vocational training activities;

- People's Committee of Quang Binh Province with 18.602 billion VND for economic activities.

[2] Adjust the 2024 regular expenditure estimate of the Ministry of Labor, War Invalids and Social Affairs funded by foreign non-refundable aid as follows:

- Decrease 54.004 billion VND for economic activities;

- Increase 40.513 billion VND for education and vocational training activities;

- Increase 12.74 billion VND for social security activities;

- Increase 0.751 billion VND for science technology activities.

[3] Increase 360.245 billion VND in foreign loan capital for 7 localities in 2024; and concurrently decrease 406.035 billion VND in foreign loan capital estimates for 12 localities as per the Proposal 697/TTr-CP dated October 23, 2024, of the Government of Vietnam.

[4] Supplement the 2024 customs certificate fee revenue estimate organized by the Ministry of Industry and Trade as 118.591 billion VND, including: 75.341 billion VND submitted to the central budget in 2024; and 43.25 billion VND fee revenue retained by the Ministry of Industry and Trade.

The Government of Vietnam is assigned to supplement the expenditure estimate for the Ministry of Industry and Trade from the customs certificate fee revenue retained in 2024 of 43.25 billion VND to cover tasks in accordance with the law.

[5] Estimate, plan central budget capital public investment in 2025 from the increased central budget revenue in 2022

- Allow transferring 56,136.146 billion VND from the increased central budget revenue in 2022 that has not been allocated yet to set up the 2025 central budget capital public investment estimate, plan for tasks, projects allowed by the National Assembly to use the medium-term public investment plan's common reserve for the period 2021-2025 in Resolution 112/2024/QH15 dated January 18, 2024, of the National Assembly, in particular:

+ Allocate 47,601.121 billion VND of the 2025 central budget capital public investment estimate, plan from the increased central budget revenue in 2022 to Ministries, central agencies, localities for implementing tasks, projects assigned in the medium-term public investment plan for the 2021-2025 period from the common reserve as per Report 652/BC-CP dated October 17, 2024, of the Government of Vietnam.

+ The unallocated capital remaining is 8,535.025 billion VND, assigned to the Government of Vietnam to report to the Standing Committee of the National Assembly for consideration and decision on allocation when investment procedures are sufficient as prescribed by law.

- Allow extending until 2025 the execution and disbursement for a maximum of 579.306 billion VND of the capital plan from the increased central budget revenue in 2022, which has not been fully disbursed, to handle land clearance compensation (including late payment) for projects extending National Highway 1 through Nghe An province as central budget obligations arising after these projects have been settled.

[6] Estimate, plan central budget capital public investment in 2025 from the increased central budget revenue in 2023

Allow transferring 18,220 billion VND from the increased central budget revenue in 2023 that remains unallocated to arrange the 2025 central budget capital public investment estimate, plan for tasks, projects allowed by the National Assembly to use the medium-term public investment plan's common reserve for the period 2021-2025 in Resolution 142/2024/QH15 dated June 29, 2024, of the National Assembly, in particular:

- Allocate 4,900 billion VND from the central budget reserve of the medium-term public investment plan for the period 2021-2025 and the 2025 central budget capital public investment estimate from the increased central budget revenue in 2023 to Ministries, central agencies, and localities to implement tasks, projects with sufficient investment procedures reported to the National Assembly at the 7th session, 15th National Assembly and in Report 652/BC-CP dated October 17, 2024, of the Government of Vietnam.

- The unallocated capital remaining is 13,320 billion VND, assigned to the Government of Vietnam to report to the Standing Committee of the National Assembly for consideration and decision on allocation when investment procedures are sufficient as prescribed by law.

[7] Allocation, extension of time execution and disbursement of projects under the Economic-Social Recovery and Development Program

- Allocate 2,920.7 billion VND from increased revenue, reduced, and saved central budget expenditure in 2021 remaining after implementing the housing rent support policy for workers under the Economic-Social Recovery and Development Program to Ministries, central agencies to implement projects with sufficient investment procedures in accordance with laws under the Economic-Social Recovery and Development Program as per Resolutions 43/2022/QH15 and 142/2024/QH15 of the National Assembly in Report 652/BC-CP dated October 17, 2024, of the Government of Vietnam.

- Allow extending until December 31, 2025, the time execution and disbursement for a maximum of 9,204.133 billion VND of the fund plan of the Economic-Social Recovery and Development Program not fully disbursed for 33 projects, 02 tasks as per the list of projects, tasks in Report 652/BC-CP dated October 17, 2024, of the Government of Vietnam.

[8] Allow using the 5% savings cut from the recurrent expenditure in 2024 of the central and local budgets to support the elimination of temporary, dilapidated houses for poor, near-poor households and support other localities in implementing this task if the locality does not use up the resources; perform transferring of the unutilized amount to 2025. The Government of Vietnam is assigned to organize the implementation.

Vietnam: Which agency supervises and audits the implementation of Resolution 159?

Based on Article 5 of Resolution 159/2024/QH15, download, specific provisions on who supervises and audits the implementation of Resolution 159 are as follows:

[1] The Standing Committee of the National Assembly, the Finance-Budget Committee, the Ethnic Council, and other committees of the National Assembly, the National Assembly delegations, National Assembly deputies, the Vietnam Fatherland Front, and its member organizations, within the scope of their duties and powers, supervise the implementation of this Resolution.

[2] The State Audit, within the scope of its duties and powers, conducts an audit of the implementation of this Resolution to ensure conformity with the law.