22/04/2015 15:41 GMT+7 Email Print Like 0

PM instructs monetary-budgetary task implementation

Hanoi, April 22 (VNA) – The Prime Minister has requested ministries and localities continue efforts to expedite adopted measures and solutions stated in Party, National Assembly and Government resolutions.

The move aims to proactively deal with declining oil price-triggered State budget collection decrease to ensure budget balance to the 2015 estimates approved by the National Assembly.

In his related directive, ministries and localities are asked to focus on addressing difficulties for businesses to improve their operations and competitiveness, carrying out economic restructuring and shifting growth model efficiently, and accelerating exports while managing imports, towards the set GDP target of 6.2 percent.

Approved plans on restructuring the economy, sectors, and business fields must be sped up to enable the State-owned enterprises rearrangement project for 2014-2015 to accomplish to its deadline, he said.

More support is required for businesses’ efforts to increase sales, reduce inventories, use new technologies, and improve their product quality.

The PM asked the State Bank of Vietnam to work together with other ministries and localities in handling the monetary policy in a proactive, flexible fashion in close connection with the fiscal policy to manage inflation, stabilise the macro-economy and spur economic growth.

Interest rates and foreign exchange rates must be regulated with regard to developments in the macro-economy, inflation and the monetary market while businesses and economic groups are assisted in accessing credit sources they need for expanded production.

The Vietnam Oil and Gas Group is requested to keep a close eye on crude oil price fluctuations in the global market and proactively work with their joint venture partners and production managers to screen production cost and optimise production activities.

Solutions responding to the worst oil price scenarios must be put in place while works on stockpiling crude oil to ensure energy security and investment efficiency need to be deployed productively.

The Finance Ministry is asked to reinforce regulatory tools to manage the local market, and goods prices and quality, especially formula milk price and transport cost.

The PM has required ministries and localities to enhance tax collection and take measures against tax evasions and transfer pricing to determinedly fulfill 2015 tax collection figure assigned by the National Assembly.

The Ministry of Finance, together with other ministries and localities are asked to follow closely the economic performance and crude oil prices in order to adjust import tariff levied on petroleum products. They are not allowed to propose or issue new policies that could reduce the State budget, except for cases of cutting taxes in compliance with international commitments.

The PM has requested non-issuance of any policies or mechanisms that would cost the State budget when a secured source is absent.

Ministries and localities need to quicken the disbursement of development capital, especially those sourced from the State budget, Government bonds, and Official Development Assistance (ODA).

Expenditures for meetings, seminars, festivals, construction ground-breaking and inaugural ceremonies, and foreign business trips, covered by the State budget, must be minimised and declared publicly, among others.

State budget overspending must be maintained within the level already decided by the National Assembly, the PM said.

Localities should proactively map out their own measures to accomplish 2015 State budget collection tasks while working to ensure their budget allocated is used correctly, economically, and efficiently, he noted.
VNA/VNP