Permission to Extend the 2021 Central Budget Investment Plan to 2022 for Projects, including Newly Commenced Projects
Regulations on Allocation of New Project Plans in 2021?
According to Section 4 Official Dispatch 5015/CV-TCT in 2022 providing guidance on public investment projects particularly by the Special Task Force of the Prime Minister of the Government of Vietnam for reviewing, resolving difficulties, obstacles, and promoting the implementation of investment projects, as follows:
+ In Resolution 129/2020/QH14 dated November 13, 2020, of the National Assembly on the allocation of the central budget for 2021, it is stipulated: “For tasks and projects that have not completed investment procedures by December 31, 2020, they must continue to be completed and allocated after the XV National Assembly decides on the medium-term public investment plan for the 2021-2025 period.”
Therefore, after the National Assembly approved the medium-term public investment plan for the 2021-2025 period in Resolution No. 29/2021/QH15 in July 2021, on September 15, 2021, the Prime Minister of the Government of Vietnam detailed the medium-term public investment plan for the 2021-2025 period for ministries, central agencies, and localities.
Based on the allocated medium-term public investment plan for the 2021-2025 period, ministries, central agencies, and localities only then allocated and detailed the central budget investment capital plan for 2021 for new projects and completed investment procedures.
Extension of the central budget investment plan for 2021 to 2022 for projects, including new ones? (Image from the internet)
How is the disbursement timeline for 2021 implemented?
According to Section 4 Official Dispatch 5015/CV-TCT in 2022 providing guidance on public investment projects particularly by the Special Task Force of the Prime Minister of the Government of Vietnam for reviewing, resolving difficulties, obstacles, and promoting the implementation of investment projects, as follows:
+ Due to the limited implementation and disbursement time in 2021, based on the provisions of Article 68 of the 2019 Law on Public Investment as follows:
“Article 68. Implementation and disbursement timeline for medium-term and annual public investment plans
1. The implementation and disbursement of the medium-term public investment plan for the previous period shall conclude by January 31 of the first year of the next medium-term period.
2. The implementation and disbursement of the annual public investment plan shall conclude by January 31 of the following year. In force majeure cases, the Prime Minister of the Government of Vietnam shall decide for central budget funds, while the provincial People's Council shall decide for local budget funds to extend the implementation time, but not beyond December 31 of the following year.
3. For programs and projects using non-refundable ODA grants that are not budgeted or exceed the allocated budget, the Government of Vietnam shall report to the Standing Committee of the National Assembly for opinions before execution and report to the National Assembly at the nearest session.”
Based on Article 48 of Decree 40/2020/ND-CP dated April 6, 2020, of the Government of Vietnam stipulating the detailed implementation of certain articles of the Law on Public Investment, as follows:
“Article 48. Extension of implementation and disbursement time for annual state budget investment plans
1. The Prime Minister of the Government of Vietnam shall decide for central budget funds, and the provincial People's Council shall decide for local budget funds to extend implementation and disbursement time for annual public investment plans, but not beyond December 31 of the following year, in the following cases:
a) Nationally important projects;
b) Projects for compensation, support, resettlement, land clearance;
c) Projects allocated with a capital plan to be completed and put into use in the planning year but not allocated capital in the subsequent year;
d) Projects supplemented with investment plans from increased revenue, expenditure savings, central budget surplus, and contingency, but not authorized for disbursement in the following year by competent authorities;
e) Projects with delayed progress due to natural disasters, disasters, epidemics, unforeseeable and unmanageable causes despite all necessary measures being taken within possible capacity;
f) Projects of representative agencies and other agencies of Vietnam abroad;
g) Ministries, central agencies, and localities having a single project in the planning year or unable to adjust the plan.
2. Based on the proposal to extend implementation and disbursement time for central budget funds by ministries, central agencies, and localities, the Ministry of Planning and Investment shall lead, in cooperation with the Ministry of Finance, to report and propose to the Prime Minister of the Government of Vietnam for consideration and decision.”
Accordingly, based on the proposal to extend the implementation and disbursement time for central budget funds by ministries, central agencies, and localities, the Ministry of Planning and Investment has submitted to the Prime Minister the Government of Vietnam for approval to extend the implementation and disbursement time for the 2021 central budget investment plan to 2022.
Can the central budget investment plan for 2021 be extended to 2022 for projects, including new ones?
According to Section 4 Official Dispatch 5015/CV-TCT in 2022 providing guidance on public investment projects particularly by the Special Task Force of the Prime Minister of the Government of Vietnam for reviewing, resolving difficulties, obstacles, and promoting the implementation of investment projects, as follows:
Based on the above-mentioned regulations and the approved opinions of Deputy Prime Minister Le Minh Khai of the Government of Vietnam in Document 2988/VPCP-KTTH dated May 13, 2022, the Ministry of Planning and Investment issued Document No. 3261/BKHDT-TH dated May 19, 2022, announcing the extension of the 2021 central budget investment plan to 2022 for ministries, central agencies, and localities.
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