Vietnam's State budget reserve estimate for the year 2014

Vietnam's State budget reserve estimate for the year 2014 (Illustrative Image)

Article 10 of Circular 90/2013/TT-BTC stipulates that the central budget and local budgets at all levels allocate budget reserves in accordance with the Law on State Budget to proactively respond to natural disasters, floods, epidemics, and to perform important and urgent tasks arising outside the estimate.

Additionally, Ministries, Central agencies, and localities shall prepare revenue estimates (tuition fees, fees, other charges, and contributions, except for the health sector which is service prices for medical examination and treatment) and expenditure estimates from retained revenue sources in accordance with policies stipulated in Clauses 1, 2, and 3 of this Article, and consolidate them into the overall revenue and expenditure estimates of the Ministries, Central agencies, and localities.

Furthermore, based on the revenue and expenditure control figures for the year 2014, the Ministries, Central agencies, and localities shall prepare their expenditure estimates comprehensively and in detail for each task, each budget-using unit under their jurisdiction. After working with the Ministry of Finance and the Ministry of Planning and Investment, the Ministries, Central agencies, and provinces/cities directly under the Central Government shall immediately commence the preparation of the budget allocation plan for the year 2014 for their respective Ministries, agencies, and localities. Upon receiving the budget estimate assigned by the Prime Minister of the Government of Vietnam, they shall actively submit to the competent authority for approval and finalize the budget allocation and deliver it to the budget-using units by December 31, 2013, in accordance with the Law on State Budget.

Ministries, Central agencies, and localities must focus on thoroughly reviewing all stages of the allocation, management, and utilization of the state budget, particularly in the areas of capital construction investment, loans, and aid, to ensure that budget allocation is in line with objectives, policies, and targeted beneficiaries; and that budget management and utilization must be stringent, effective, with proper reporting, inspection, and audit policies to prevent losses and waste.

For more details, see Circular 90/2013/TT-BTC, effective from August 14, 2013.

Le Vy

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