HCMC saves over VND1 trillion in administrative management cost

The HCMC People’s Committee has sent a report on its implementation of the financial autonomy mechanism in 2022 according to Decrees No.130/2005/ND-CP and No.117/2013/ND-CP.


The report reveals that 100 percent of state administrative units in Thu Duc City and all districts, and government agencies are now adopting the autonomy and self-responsibility model regarding staff designation and administrative management spending. All are implementing the mechanism of expenditure allocation as well as the regulations on internal expenses and asset management.

The HCMC People’s Committee commented that effective application of the above regulations helps save costs in all state administrative units. By adopting practical measures to save the budget and combat against cost waste, these organizations are spending their allocated money more wisely. This saved amount is then used to increase salary for civil servants and public employees.

Most units have specified salary rise rates in accordance with work performance, which is obtained via democratic, transparent and public evaluations. These have helped to boost the work spirit among staff members when they are carrying out their assigned tasks.

At the city level, HCMC saves VND340.15 billion (US$14 million), equal to 25.8 percent of the allocated budget to adopt financial autonomy. About VND293.1 billion ($12 million) has been spent on bonus, fringe benefits, salary rises, and reserve fund.

At the district level, around VND257.8 billion ($10.6 million) has been saved, equivalent to 24.8 percent of the allocated budget to adopt financial autonomy.

At the ward and commune level, the saved amount is VND403.5 billion ($16.6 million), which is 27.7 percent of the allocated budget to adopt financial autonomy.

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