31st Sea Games - Vietnam 2021 Covid-19 Pandemic
Home / Economy / Banking & Finance
Vietnam’s budget revenue in 10 months exceeds year’s target
Ngoc Mai 07:55, 2022/11/09
The high revenue was thanks to Vietnam’s speedy economic recovery, including a GDP growth of 8.83% in the year's first three quarters.

Vietnam’s budget revenue in the first ten months of 2022 was estimated at VND1,460 trillion (US$58.7 billion), representing an increase of 16.2% year on year and surpassing the year’s target by 3.7%, according to the Ministry of Finance (MoF).

 A client pays tax at a tax office in Hanoi. File photo

The MoF attributed the solid performance to Vietnam’s speedy economic recovery, which translated into a high GDP growth of 8.83% during the nine months, the highest since 2011.

Meanwhile, high petrol prices in the global market have also contributed to an upbeat collection, with revenue from crude oil exports during the 10-month at VND65.5 trillion ($2.63 billion), up 95% year on year and exceeding the year’s estimate by 32.4%.

The ministry noted that efforts to tighten tax management and e-invoices have been essential in preventing tax evasion and ensuring greater efficiency in tax collection from e-commerce activities and real estate transactions.

While the budget revenue remains positive, the MoF noted a declining trend in domestic revenue.

According to the MoF, the average domestic revenue per month in the first five months of 2022 reached VND130.8 trillion ($5.25 billion) but dropped to nearly VND100 trillion ($4 billion) in the subsequent six months, to VND71.2 trillion ($2.86 billion) in the ninth months and VND70 trillion ($2.8 billion) in the tenth months.

In contrast, state budget spending in the ten months was VND1,220 trillion ($49 billion), 68.3% of the forecast. Of the total, capital expenditure was VND297.8 trillion ($12 billion), interest payment VND78.3 trillion ($3.1 billion), and recurrent expenditure VND841.3 trillion ($33.8 billion).

This resulted in a budget surplus of VND240 trillion ($9.64 billion) for January-October.

Hanoi is among the top five budget contributors

Total budget revenue in Hanoi in the first ten months of 2022 stood at VND294.8 trillion ($11.85 billion), equivalent to 94.6% of the estimate and up 12% year on year.

This made the city the second largest contributor to the state budget, behind only Ho Chi Minh City, with VND392.7 trillion ($15.6 billion).

The other three provinces/cities in the top 5 included Ba Ria – Vung Tau (VND94 trillion or $3.7 billion), Haiphong (VND87 trillion or $3.5 billion), and Binh Duong (VND55.2 trillion or $2.2 billion).

According to the Hanoi Department of Statistics, the private sector led the components in terms of tax collection, with VND62.1 trillion ($2.5 billion), followed by the state sector, with VND51.8 trillion ($2 billion), and the foreign-invested sector, with VND19.8 trillion ($796 million).

In a recent meeting, the Vice Chairman of the Hanoi People’s Committee, Ha Minh Hai, said the city aims to exceed the budget revenue target for 2022 by 5%.

In 2022, Hanoi allocated a total of over VND51 trillion (US$2.2 billion) in public investment, of which VND34 trillion ($1.46 billion) is for city-level projects and VND16 trillion ($688 million) for district-level ones.

An estimate of VND10.2 trillion ($443.2 million) would be assigned to rural and urban districts to develop their respective infrastructure projects, including the construction of new schools, upgrading healthcare facilities, and preserving historical sites, reflecting the city’s attention to supporting the growth at grass-roots levels.

For the 2021-2025 period, the city sets to earmark VND650 trillion ($28.4 billion) for the public investment plan.

TAG: vietnam budget revenue hanoi budget collection hanoi tax management
Other news
12:00, 2023/00/22
Hanoi eyes comprehensive development in 2023: Mayor
In 2023, the city is determined to successfully implement its yearly socio-economic goals and realize part of the 2021-2025 key development tasks.
16:54, 2023/54/18
EU, Germany fund to enhance public financial management in Vietnam
A robust public finance management system will enable Vietnam to achieve its long-term socio-economic growth.
13:56, 2023/56/17
Vietnam proposed 30% cut in land lease in 2023
Last year, a similar cut caused the state to miss out on VND3.5 trillion (US$150 million) in revenues.
14:58, 2023/58/14
Vietnam's foreign reserves to return to US$100-billion mark by year-end
During the first 10 months of 2022, the State Bank of Vietnam (SBV) was forced to sell an estimated 20% of total foreign exchange reserves to stabilize the exchange rate.
11:03, 2023/03/07
Vietnam’s 2023 GDP growth forecast at 7.2%: Standard Chartered
The forecast comes from the country's solid growth of 8% in 2022.
21:25, 2023/25/05
Gold of high interest for Vietnamese investors to combat inflation
As many as 73% of Vietnamese investors still believe in digital assets, despite market turbulence in 2023.