According to the Ministry of Finance, this year, the National Assembly allocated, and the Prime Minister assigned, more than VND1 quadrillion (US$38 billion) in public investment capital to ministries, central agencies and localities.
As of the end of June, ministries, central agencies and local governments had allocated nearly VND1 quadrillion in detailed funding plans for approved projects and tasks.
Nearly VND20 trillion (US$761 billion) had yet to be allocated, as ministries, sectors and localities were still completing administrative procedures and adjusting investment plans to reduce capital allocations.
Regarding disbursement progress, nearly VND357 trillion (US$13.6 billion) had been disbursed nationwide by June 30, reaching almost 36 percent of the annual plan assigned by the Prime Minister.
According to the Ministry of Finance, public investment disbursement has remained slower than expected due to a number of obstacles, including shortages of construction materials, sharp fluctuations in fuel prices and transportation costs that have increased project expenses and required contract adjustments.
Other challenges include difficulties in land acquisition and site clearance, as well as initial project planning that did not accurately reflect implementation capacity.
The ministry also pointed to limited capacity and accountability among some project owners, project management boards and contractors.
To accelerate public investment disbursement, the Ministry of Finance urged ministries, central agencies and local governments to implement in a determined and coordinated manner the tasks and solutions assigned by the Government.
