In the first 6 months of 2023, Ho Chi Minh City handled more than 10.2 million/10.3 million dossiers. The rate of dossiers processed on time reached over 99.8 percent.
Ho Chi Minh City is facing challenges to realise its yearly growth target of 7.5%, as the rates recorded in the first and second quarters failed to meet expectations.
Vice Chairman of the HCMC People’s Council Nguyen Van Dung conducted supervision on the implementation of public investment tasks in the 2021-2025 period at the Construction and Transport departments on May 11.
Based on statistics, the public investment disbursement rate in HCMC was only 2 percent in the first quarter of 2023. If this situation persists, it may be challenging to achieve the disbursement plan of over VND70 trillion by the end of 2023.
By November 30, 54 localities and ten ministries had a disbursement rate below 50 percent. Of these, six ministries and four localities had zero percent disbursement rate. Three ministries and five localities saw a disbursement rate of over 50 percent of the capital plan.
Deputy Prime Minister Vu Duc Dam, Head of the Working Group No.3 on inspecting, urging, removing difficulties and obstacles, and accelerating disbursement of public investment capital in 2022, on October 26, worked with some ministries, agencies, and central and local agencies on the disbursement progress of public investment capital in 2022.
Six State-owned enterprises and corporations, including Vietnam Airlines Corporation, Airports Corporation of Vietnam, Vietnam Railways Corporation, Vietnam Coffee Corporation, and Vietnam Southern Food Corporation, failed to meet the annual revenue and profit targets. Vietnam Electricity could not achieve the revenue target despite having obtained the profit plan.
The Ministry of Transport on July 2 revealed that at the end of June 2021, its sub-divisions disbursed about VND43,401 billion, accounting for 40 percent of the plan for the entire year, higher than that during the same period last year and the average disbursement rate of the country.
Multiple BT investment projects in HCMC are still being delayed indefinitely despite the many regulations and guidelines in place, creating huge financial burdens to businesses and the government and wasting social resources.
According to Ms. Le Thi Huynh Mai, Director of the Department of Planning and Investment, Ho Chi Minh City plans to achieve a disbursement rate of public investment of above 90 percent this year.
Ho Chi Minh City had disbursed nearly VND21.28 trillion (US$920 million at current exchange rate) of public investment capital as of August 23, fulfilling 50.5 percent of the assigned capital this year, the city’s Department of Planning and Investment reported.
HCMC has arranged funds for implementation of projects including those to solve traffic jam and the flooding but disbursement has been too slow, so agencies and districts citiwide should review public investment use for the last three years and propose several solutions on this issue.