The Vietnamese Government plan to kick start some pubic investment projects, estimated around VND113.85 trillion (US$5 billion) in April.

Deputy Minister of Planning and Investment Tran Quoc Phuong. Photo: VGP

Deputy Minister of Planning and Investment Tran Quoc Phuong gave the remarks during a monthly Government press conference held on March 3, with these projects being a part of the upcoming socio-economic recovery program worth up to VND350 trillion ($15.4 billion).

According to Phuong, ministries and Government agencies are in the process of preparing the legal basis for the implementation of the program but suggested everything is still on schedule stipulated in resolution No.11 of the National Assembly that ratifies the billion-dollar packages.

He said the public investment is the most complicated issue in the Government’s drive to put the recovery program in practice, due to the long process of projects approval and setting a list of investment portfolios.

As the list of projects is pending approval from the Standing Committee of the National Assembly, Phuong expected they are to be implemented in April-May.

Touching on other parts of the recovery program, Phuong expected financial support in terms of taxes and fees would take effect in the upcoming days, while the State Bank of Vietnam and other ministries are drafting a guideline for the implementation of a credit support program for businesses and people affected by the pandemic.

In a recent Government meeting, Deputy Prime Minister Le Minh Khai urged no delay in the implementation of the program, due to its significant impacts on the speedy recovery of Vietnam’s economy and its prospects to realize the 5-year development targets.

The National Assembly sets Vietnam’s GDP growth target in the 2021-2025 period of 6.5-7%; public debt below the threshold of 65% of the GDP; the unemployment rate in urban areas below 4% and stable macro-economic fundamentals in the medium and long term.

The program, scheduled to take place during the 2022-2023 period, would include an economic reopening initiative along with improvements in preventive healthcare capabilities worth VND60 trillion ($2.64 billion); social welfare, and job creation support (VND53.15 trillion or $2.34 billion); businesses, cooperative and households recovery support (VND110 trillion or $4.84 billion); infrastructure development (VND113.85 trillion or $5 billion); administrative reform and improvements of the business environment.