Hanoi accelerates public investment disbursement

13:00 | 14/10/2020 Economy

(VEN) - The Deputy Chairman of the Hanoi People’s Committee Nguyen Van Suu said the capital is determined to disburse its entire 2020 public investment funds in order to spur economic growth.

hanoi accelerates public investment disbursement

Hanoi has disbursed 58.6 percent of 2020 public investment capital

Closer supervision

Hanoi disbursed VND26.6 trillion worth of public investment in the first eight months of 2020, up 2.8 percent from the same period last year and equivalent to 58.6 percent of the VND40.67 trillion yearly plan. City authorities have asked all relevant agencies to implement synchronous measures to overcome the Covid-19 impact and strive to disburse 97-100 percent of public investment in 2020.

According to the Hanoi People’s Committee, the disbursement of public investment and the implementation of public projects lag behind mainly due to the Covid-19 pandemic, inadequacies in legal documents, prolonged site clearance procedures and unskilled staff.

To speed up disbursement, Hanoi will focus on directing investors to urgently carry out projects on the list of medium-term public investment plans as approved by the people's council.

The city will also tighten the inspection and supervision of investment projects with low disbursement results and delays. Meanwhile, departments and agencies should continue to review and implement administrative reforms related to construction investment and compensation for site clearance and land acquisition, among others.

The city has established a special working group to review and assess budget expenditure, and study specific projects’ problems. The city people's committee had meetings with ministry representatives, leaders of departments and sectors, heads of urban and suburban district people's committees, and investors to help overcome difficulties.

Planned borrowing

“The city will closely monitor the implementation of projects and promptly adjust the capital plans from projects with slow disbursement to other projects. The city will also give specific directions on the handling of problems regarding each project while strengthening management and supervision at construction sites to achieve the disbursement target of 97-100 percent of public investment capital in 2020 and in January 2021, making an important contribution to achieving set growth targets,” said Deputy Chairman of the Hanoi People’s Committee Nguyen Van Suu.

Hanoi will be realizing an action program to implement Government Resolution 84/NQ-CP on speeding up public investment disbursement, and issue a plan to implement Resolution 115/2020/QH14 dated June 19, 2020, on piloting financial and budget policies specifically designed for Hanoi. The city will take the initiative in implementing the revised Construction Law 62/2020/QH14 to ensure project pace.

Speaking at a recent online meeting on public investment disbursement between the Prime Minister and central and local authorities, Suu proposed that the government and relevant ministries and agencies ease difficulties faced by a number of official development assistance (ODA) projects in the city.

He suggested that the government and the Ministry of Planning and Investment adopt guidelines swiftly for public investment in 2021 and the 2021-2025 period.

The Ministry of Finance is expected to borrow 20 million euros for the urban railway line No. 3 project connecting the Nhon and Hanoi Railway Station, and approve credit for the Yen Xa wastewater treatment project in accordance with the loan agreement signed with the Japan International Cooperation Agency (JICA) and loan management regulations of the state and donors.

Prime Minister Nguyen Xuan Phuc praised Hanoi Party Committee Secretary Vuong Dinh Hue for personally visiting project sites and forming a special working group to deal with problematic projects. Chairwoman of the Hanoi People’s Council Nguyen Thi Bich Ngoc said the city’s public investment during 2016-2020 was very important for the development of the city and the country, accounting for 10 percent of the country’s public investment funds. At this time, public investment would help boost economic growth, support enterprises and create more jobs, she said.

Dan Linh