Public dept within permissible limit though facing numerous challenges

(VOVworld) - Minister of Finance Dinh Tien Dung told the National Assembly that Vietnam’s public debt is still within permissible threshold though facing numerous challenges.

Public dept within permissible limit though facing numerous challenges - ảnh 1
NA Vice Chairwoman Nguyen Thi Kim Ngan chaired the discussion

He told the National Assembly session on Thursday that Vietnam needs an additional 170 trillion dong mobilized from government bonds in the next 2 years with a projected public debt of 60.3% of the GDP this year and 64% next year. The Minister cited unstable debt structure and short term repayment pressure as major challenges: “We will propose amendments to the Laws on State Budget and Pubic Debt Management. Efforts will center on anti-smuggling, stable budget collection promotion through a complete review of major projects for trimming exercises and mainstreaming to avoid budget expenditure increase.”

National Assembly deputies agreed on a government’s target of 6.2% GDP growth for next year. They called fore drastic measures to tackle non-performing loans, private sector stimulation and credit support for rural agricultural development. Deputy Mai Thi Anh Tuyet from the southern province of An Giang: “The government must speed up agricultural restructuring and promote high-tech agricultural production with better connectivity with material supplies, traders, and market outlets. I recommend the removal of VAT on input materials for agricultural production.”

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