Tran Xuan Ha, Deputy Minister of Finance, speaks at the conference. (Photo: VNA)Hanoi (VNA) – The disbursed amount of public investment funded by official development assistance(ODA) in localities in the first five months of thisyear stood at only over 1.1 trillion VND (47.9 million USD), equivalent to just 1.73percent of the year’s target, according to the Ministry of Finance (MoF).
As many as 37 out of 63 provinces and cities have not yet disbursed any capital and15 provinces and cities have a disbursement rate of 3 percent.
The information was revealed at an online conference on June 14 between theministry and localities to accelerate disbursement of ODA-funded public investment.
Tran Xuan Ha, Deputy Minister of Finance said the disbursement rate is even lower than that of last year.
Ha Minh Hai, Vice Chairman of Hanoi People's Committee, said that by the end ofMay, the city disbursed 551 billion VND (24 million USD) of ODA capital,equals to 7.03 percent of the target.
He attributed the slow disbursement to the COVID-19 pandemic which made itdifficult for foreign experts to come to Vietnam, and for the transport of imported machines and equipment.
He also cited difficulties caused by the adjustment of the cost and time of bidding packages due tothe prolonged implementation of some projects and obstacles in site clearance.
“The city has asked for guidance from the ministries and branches. However, differences between Vietnamese laws and international practices orthe sponsor's regulations when implementing contracts with internationalcontractors have resulted in some disputes," Hai said.
According to the MoT, in addition to the negative impact of the COVID-19 pandemic, adelay in completing procedures for investment or in bidding resulted in a lowrate of disbursement.
To increase the disbursement of ODA public investment capital in localities, Haisuggested that the Ministry of Planning and Investment soon issue instructionsfor localities and agencies to make suggestion to the ministry regarding the adjustment of ODA capitalplan for 2021.
The MoT will coordinate with other ministries in scrutinising procedures foradjusting agreements with donors, while shortening time for relevant procedures./.
As many as 37 out of 63 provinces and cities have not yet disbursed any capital and15 provinces and cities have a disbursement rate of 3 percent.
The information was revealed at an online conference on June 14 between theministry and localities to accelerate disbursement of ODA-funded public investment.
Tran Xuan Ha, Deputy Minister of Finance said the disbursement rate is even lower than that of last year.
Ha Minh Hai, Vice Chairman of Hanoi People's Committee, said that by the end ofMay, the city disbursed 551 billion VND (24 million USD) of ODA capital,equals to 7.03 percent of the target.
He attributed the slow disbursement to the COVID-19 pandemic which made itdifficult for foreign experts to come to Vietnam, and for the transport of imported machines and equipment.
He also cited difficulties caused by the adjustment of the cost and time of bidding packages due tothe prolonged implementation of some projects and obstacles in site clearance.
“The city has asked for guidance from the ministries and branches. However, differences between Vietnamese laws and international practices orthe sponsor's regulations when implementing contracts with internationalcontractors have resulted in some disputes," Hai said.
According to the MoT, in addition to the negative impact of the COVID-19 pandemic, adelay in completing procedures for investment or in bidding resulted in a lowrate of disbursement.
To increase the disbursement of ODA public investment capital in localities, Haisuggested that the Ministry of Planning and Investment soon issue instructionsfor localities and agencies to make suggestion to the ministry regarding the adjustment of ODA capitalplan for 2021.
The MoT will coordinate with other ministries in scrutinising procedures foradjusting agreements with donors, while shortening time for relevant procedures./.
VNA
