Joint Circular No. 06/TTLB/KH-TC guides the implementation of Decision No. 53/TTg dated August 8, 1996, of the Prime Minister on managing national programs.

JOINT CIRCULAR

Guidelines for Decision 531/TTg dated August 8, 1996 of the Prime Minister regarding management of national programsOn August 8, 1996, the Prime Minister issued Decision No. 531/TTg on the management of national programs (referred to as NP). Pursuant to Article 19 of Decision No. 531/TTg, the Ministry of Planning and Investment and the Ministry of Finance provide guidance on certain main points as follows: 

Based on the content of Decision No. 531/TTg, all target programs that have been approved by the National Assembly in the list of National Programs fall within the scope of application of this Circular.

PART I

GENERAL ISSUES

Target programs with the following characteristics do not belong to national programs:

Programs that are regular activities of ministries and sectors;

Programs fully funded under investment construction mechanisms and regularly included in annual plans;

Specialized programs such as scientific research and technology development;

Pure economic-technical programs not linked to urgent socio-economic goals, lacking inter-sectoral nature, and without clearly defined implementation periods;

Programs and areas of development recorded in five-year plans, having broad objectives covering multiple fields.

NATIONAL PROGRAM PLANNING WORK

PART II

National program planning includes the following stages:

Proposing programs and projects.

Developing programs and projects.

Reviewing and approving programs and projects.

Implementing programs and projects.

Monitoring and evaluating programs and projects.

I. PROPOSAL OF NATIONAL PROGRAMS:

Based on Article 4 of Decision No. 531/TTg, ministries, national councils, general departments (hereinafter referred to collectively as ministries) propose to the Ministry of Planning and Investment and the Ministry of Finance a list of their respective national programs for each planning period based on the criteria for national programs stipulated in Article 3 of Decision No. 531/TTg. This work is carried out during the stage of guiding the preparation of annual plans (April and May each year).

The main content of the proposal for national programs includes:

1. The necessity to address issues in the sector through national programs.

2. General objectives of the program.

3. Estimated time frame for implementing the program.

4. Geographic area for implementing the program: nationwide or specific regions.

5. Preliminary determination of the total capital of the program by source.

6. Preliminary calculation of the impact subjects and effectiveness of the program.

7. International cooperation (if applicable).

8. Proposal for managing agencies, coordinating agencies, and implementing agencies for the program and project.

The Ministry of Planning and Investment collaborates with the Ministry of Finance to compile and select the list of national programs proposed by ministries and to determine the managing agency, which will be submitted to the Prime Minister for consideration and then presented to the National Assembly for decision together with the annual plan and five-year plan. After approval by the National Assembly, the managing agency of the national program (hereinafter referred to as the managing ministry) will proactively develop the national program proposal, in coordination with the Ministry of Planning and Investment, the Ministry of Finance, and relevant ministries, sectors, and localities.

II. DEVELOPMENT OF NATIONAL PROGRAMS: The development of national programs is conducted during the short-term and medium-term planning phases, typically around July-August each year. The content of the national program proposal according to Article 6 of Decision No. 531/TTg is detailed as follows:

1. Bases for developing national programs:

1.1. Determining the objective requirements necessitating the formation of the program, including: Analysis and evaluation of the current situation in the field addressed by the program. Based on key economic and social data over several years to assess the trend of the issue the program aims to resolve.

1.2. Comparing indicators between regions, areas, and internationally to identify the urgency of the issue to be resolved.

2. Objectives of the national program:

1. 1. Determine the objective requirements for forming a program, including: Analyzing and evaluating the current situation in the field that the National Target Program will address. Base on specific economic and social data over several years to assess the development trend of the issue that the program will resolve.

1. 2. Compare indicators between regions, areas, and internationally to identify the urgency of the problem that needs to be resolved.

2. Objectives of the National Target Program:

The objectives of the National Program must be within the overall strategy for national socio-economic development. The National Program may have one or several objectives, but these objectives must be clear, quantifiable, and easily assessable. Short-term and long-term objectives can be distinguished at the end of the National Program.

3. Duration of Implementation of the National Program:

Is the time required to achieve the program's objectives. This period must be limited, usually five years.

4. Scope of Activities:

The scope of activities of the entire program and each project is the limit of the direct impact of the program on which industry, field, region, or the whole country.

5. Necessary measures to ensure implementation of the program:

5.1. Financial solutions:

Financial solutions of the National Program include determining measures to ensure the total amount of capital necessary for implementing the program's objectives. The total capital is calculated based on the capital of each project throughout the program period and annually. The total capital of the program must be allocated annually.

Capital mobilization for the program includes:

a. State budget capital (including government debt capital and aid).

b. Domestic credit.

    c. Community capital mobilization (including both labor contributions and in-kind contributions)... These sources of capital must clearly state the measures for mobilization, loan methods, repayment, and analyze their effectiveness.

5.2. Human resource solutions:

Including solutions to ensure sufficient human resources to implement the National Program, including management and execution stages.

Calculate management costs, training costs, including foreign expert hiring costs (if applicable).

5.3. Solutions regarding materials, raw materials, means, and machinery:

Describe the selected technology's economic and technical characteristics, evaluate its suitability, advantages, and limitations;

Sources of technology supply and equipment and reasons for selection;

List the main equipment prices and procurement methods (domestic or international bidding...).

6. Effectiveness of the program:

When building and evaluating the implementation of the National Program, the ministries managing the program must determine the program's results through indicators and indices concerning economic and social benefits, beneficiaries from the program's and each project's outcomes, environmental issues, and improving management staff capacity, etc.

7. Proposals and recommendations for mechanisms and policies:

Specific policies applied to the program and the integration and international cooperation content of the program (if applicable).

7.1. Integration of the program's objectives and activities:

Ministries managing the National Program are responsible for proposing the integration of overlapping objectives and activities with other National Programs (if applicable) and models and mechanisms for integration.

7.2. International cooperation issues of the program (if applicable);

If there is cooperation with foreign countries for program implementation, the ministry managing the National Program must clearly state the purpose, content, form of cooperation, and resources of participating parties (foreign side and the Vietnamese Government), as well as the time frame for implementation and issues requiring government approval.

7.3. Mechanisms and policies needed to be issued for the program's implementation.

8. Organizational structure and operation mechanism for implementing the National Program: Determine the organizational structure and operational mechanism of the National Program, including:

8.1. The National Program Steering Committee under the Ministry managing the National Program. This steering committee may be directly assigned to an existing unit within the Ministry, established as a lean steering committee, or a joint steering committee for several programs within the Ministry (if applicable);

8.2. The system of organizations implementing the program (including relevant ministries, sectors, and localities);

8.3. The system of coordinating agencies managing the program (if applicable);

8.4. Regulations on the operation of the National Program Steering Committee.

9. Monitoring, supervision, and evaluation of the National Program:

9.1. Determine a system of indicators reflecting the implementation situation of the program and projects within the program, including input and output indicators and indices about the program's and project's impacts.

9.2. Determine the information collection and reporting system on the implementation situation of the program and projects. Plan for monitoring, supervising, and evaluating the program and each project, including the time schedule, executing agency, monitoring and evaluation content, reporting agency, and reporting timeline.

10. Projects within the National Program:

Based on Article 2 of Decision 531/TTg, projects within the National Program are developed to address specific objectives or a group of specific objectives of the program within a specific timeframe and geographical area.

For projects using public expenditure funds from the state budget, the basic contents must include:

 (1)- Project name.

 (2)- Project management agency, implementing agency, coordinating agency.

 (3)- Main objectives and contents of the project:

Summarize the general situation, reasons, and necessity of the project.

Determine the specific objectives of the project in relation to the overall objectives of the National Program.

Determine the project's content and basic tasks.

 (4)- Solutions for implementing the project:

Specific location options for implementing the project;

Financial requirements, categorized by funding sources and expenditure items;

Recommendations on mechanisms and policies for implementing the project, including integration content and mechanisms (if applicable);

Management organization model and operational mechanism.

 (5)- Project implementation period: Start and end dates.

 (6)- Beneficiaries of the project, estimated economic and social benefits of the project.

 (7)- Plan for implementing the project's main activities divided by year.

III. REVIEW AND APPROVAL OF THE NATIONAL PROGRAM

After completing the drafting of the National Program document, the ministry managing the program sends it to the Ministry of Planning and Investment, the Ministry of Finance, and the Government Office for review before submitting to the Prime Minister for consideration and decision-making prior to incorporating it into the annual socio-economic development plan and state budget estimate.

1. Review dossier of the program includes:

The proposal for reviewing the National Program from the managing ministry;

The National Program document approved by the ministry;

Comments from related ministries, sectors, and localities;

Other necessary related documents (if applicable).

The Ministry of Planning and Investment leads the coordination with the Ministry of Finance, related ministries, sectors, and localities to conduct the review of the National Program.

The Ministry of Planning and Investment shall be responsible for preparing the report on the review, draft decision on approval of the National Target Program to be submitted for consideration and decision by the Prime Minister.The Prime Minister shall consider and decide.

The time for reviewing the national program shall not exceed 45 days from the date of receipt of complete valid files.

2. The contents of the review of the National Target Program shall focus on the following points:

 The objectives of the program: shall be reviewed and compared with the general tasks of economic and social development of the country;

Implementation solutions of the program including both resource-related solutions and financial balancing capabilities;

The implementation period of the program;

The results and socio-economic efficiency of the program;

The organization of program implementation;

When reviewing the program, the number, objectives, and content of projects within the program, as well as the integration of the program (if applicable), shall be considered and agreed upon.

3. Draft decision on approval of the National Target Program:

The main contents of the decision include:

Determining the name and managing ministry of the program.

Objectives and tasks of the program.

Time and space for implementing the program, key milestones.

Total capital and sources of capital mobilization, including state budget investment in the program.

Responsibilities of agencies coordinating the implementation of the program.

Mechanisms and policies for implementing the program. 

Efficiency of the program.

IV. AMENDMENT OF THE CONTENTS OF THE PROGRAM:

Article 9 of Decision 531/TTg clearly stipulates the tasks of the Ministry of Planning and Investment, the Ministry of Finance, and the managing ministry of the National Target Program regarding the amendment of the contents of the National Target Program.

This Circular only provides additional guidance on some specific points as follows:

1. While drafting annual or five-year plans, if the conditions for balance or the objectives of the program change, the managing ministry of the National Target Program must submit a written proposal requesting adjustment of the program to the Government, simultaneously sending it to the Ministry of Planning and Investment and the Ministry of Finance in July and August each year.

The contents of the document adjusting the National Target Program according to Article 9 of Decision 531/TTg.

2. The Ministry of Planning and Investment shall coordinate with the Ministry of Finance to organize the review of the document proposing the adjustment of the program.

If the adjustment content changes the Legal Statute Indicators and alters the total budget estimate for the National Target Program assigned by the Prime Minister, the Ministry of Planning and Investment shall take the lead in coordinating with the Ministry of Finance to compile and submit a document for the Prime Minister's consideration and decision.

The managing ministry of the National Target Program adjusts the objectives of activities for National Target Program projects implemented by ministries, sectors, and localities within the allocated state budget.

V. REPORTING REGIME ON IMPLEMENTATION OF THE PROGRAM

Ministries, sectors, and localities implementing the Program (implementing units) shall submit regular reports (quarterly and annually) to the Steering Committee of the National Target Program on the situation of achieving objectives, funding for each specific activity, difficulties, issues requiring resolution or adjustment, etc., according to a unified form.

The managing ministry of the National Target Program shall be responsible for compiling regular reports (quarterly and annually) on the implementation of the National Target Program to the Office of the Government, the Ministry of Planning and Investment, and the Ministry of Finance according to a unified form.

The Ministry of Planning and Investment shall take the lead in coordinating with the Ministry of Finance to compile, assess the situation, propose solutions to the Prime Minister for handling difficulties, timely correct deviations during implementation, ensuring that the final objectives of the National Target Program are not deviated from.

VI. INTEGRATION OF NATIONAL TARGET PROGRAMS

Article 8 of Decision 531/TTg clearly stipulates the principles, contents, and specific functions and tasks of agencies in integrating national programs and is implemented through the following mechanism:

The integration of national programs must be carried out by the Ministry of Planning and Investment, the Ministry of Finance, and program management agencies from the proposal, construction, and evaluation stages of the program before the Prime Minister makes a decision. Based on this, they guide localities to integrate these programs within their jurisdiction in accordance with the directives of the Central Government, specifically:

At the central level: The Ministry of Planning and Investment coordinates with the Ministry of Finance and other ministries managing national programs to integrate overlapping objectives and activities of the programs, ensuring that each sector handles its own work and directing the activities of national programs towards priority areas.

At the provincial level: Based on the capital and objectives of national programs assigned by the Government, the Chairmen of Provincial People's Committees directly under the central government shall integrate similar activities within their jurisdictions, allocate objectives and capital according to the goals of each program, and assign plans to districts, counties, and relevant departments for implementation; organize the management of districts, counties, and specialized departments to implement the objectives of national programs within their jurisdictions.

At the district and county level: Districts and counties are primarily responsible for organizing the implementation of activities of national programs within their jurisdictions. National programs must be centralized under the People's Committee of the district or county to direct their implementation as an overall comprehensive program for the entire county, but they must comply with the objectives of each individual program. Each commune must identify which national programs are operating as a basis for integrating programs and gradually form a networked information system for managing national programs from commune to county, province, and central levels.

PART III

FINANCIAL MECHANISM OF NATIONAL PROGRAMS

I. PLANNING RESOURCES FOR NATIONAL PROGRAMS

1- Annually, based on the guidelines for planning issued by the Ministry of Planning and Investment and the Ministry of Finance, agencies and localities implementing national programs must evaluate the implementation situation of the previous year, propose needs for the next year's plan, and suggest changes to project objectives and program funding when such objectives and funding do not align with the actual conditions of the locality (if applicable). These proposals should be submitted to the Ministry of Program Management, the Ministry of Planning and Investment, and the Ministry of Finance.

2- Based on the five-year and annual objectives of national programs, the Ministry of Program Management evaluates the implementation status of the programs in the previous year, compiles proposals for resource needs for the next year's plan for the programs, including state budget funds (basic investment capital, public expenditure capital, government foreign loans and aid), domestic credit, funds raised from organizations and individuals... and submits them to the Ministry of Planning and Investment and the Ministry of Finance.

3- After receiving the needs from the main managing agencies of national programs, ministries, and localities, the Ministry of Planning and Investment, in collaboration with the Ministry of Finance, aggregates the tasks and objectives of national programs and proposes resources to ensure the achievement of national program objectives during the planning period.

II. ALLOCATION OF CAPITAL AND ASSIGNMENT OF PLANS FOR NATIONAL PROGRAMS

1- Allocation of Capital:

The Ministry of Finance, in collaboration with the Ministry of Planning and Investment, balances the state budget allocated for national programs within the total state budget estimate to submit to the Government for consideration and presentation to the National Assembly for approval. After the National Assembly approves, the Ministry of Finance announces the total budget for each national program to the program management agencies.

The national program management agency, in collaboration with the Ministry of Finance and the Ministry of Planning and Investment, allocates the program budget estimates to ministries, sectors, and localities; sends them to the Ministry of Finance and the Ministry of Planning and Investment for consolidation into the budget estimates of each ministry, sector, and locality to be officially assigned by the Government.

2- Assignment of Budget Plans for National Programs:

The Prime Minister assigns the total capital for implementing national programs to ministries and localities directly responsible for implementation within the total budget of each ministry and locality according to the annual plan.

After the Government assigns the revenue and expenditure budget tasks to each ministry, sector, and locality, the national program management agency of each ministry, sector, and locality collaborates with the financial authority at the same level to detail the allocation to subordinate units, report to the competent authority for decision-making, and assign to the units for implementation.

Units using the budget are responsible for preparing detailed budgets according to the state budget classification, in compliance with the prescribed standards, objectives, and spending limits, and submitting them to the superior management agency and the financial authority at the same level.

3- Mechanism for Granting and Managing Capital for National Programs:

According to Article 13 of Decision 531/TTg, the portion of capital from the state budget for implementing national programs is allocated from the central budget for national programs. The capital of national programs must be granted, managed, and settled according to the provisions of the State Budget Law and accompanying guiding documents.

The funds for implementing national programs allocated from the central budget are directly provided by the Ministry of Finance to ministries and sectors for centrally-managed projects and authorized through the Department of Finance and Price Control for locally-managed projects.

The granting, management, and settlement of funds for national programs are carried out according to Circular No. 09/TC-NSSN dated March 18, 1997 of the Ministry of Finance "Guidelines for Implementing Grants, Preparing and Settling State Budgets" and specific guidelines of the Ministry of Finance.

For national programs that have both regular expenditures and construction-related expenditures, the construction-related expenditures in national programs require the budget-using units to complete all necessary procedures for investment and construction.

The portion of the project's budget funded by credit sources must comply with the government's lending regulations and those of relevant sectors.

The portion of the project's budget funded by grants (if any) must be implemented according to the Official Development Assistance (ODA) management regulations (Government Decree No. 20/CP on the management and use of ODA funds) and related documents.

The procurement of equipment, materials, medicines, chemicals, etc., for the operation of the project must be carried out in accordance with state price directives and current bidding regulations. For products produced by public service units supplied to the project, the pricing levels must be agreed upon with the relevant price, planning, and finance departments at the corresponding level.

For programs with revenue sources and for funds raised from the people, the Director of the Project and the People's Committees of provinces and centrally-administered cities where the program is implemented may use such funds for activities within the scope of the program, but they must report to the National Program Management Ministry, the Ministry of Finance, and the Ministry of Planning and Investment and settle accounts according to current regulations.

The National Program Management Ministry, in coordination with the Ministry of Finance, shall issue circulars guiding specific expenditure contents consistent with each goal and task of the project within the approved budget and announce them annually.

The National Program Management Ministry is responsible for managing, directing, and effectively utilizing investment funds for projects and reporting on the use of funds quarterly and annually to the corresponding financial authorities for monitoring, allocation, and inspection.

PART IV

MANAGEMENT AND OPERATION OF NATIONAL PROGRAMS.

1- National Program Steering Committee:

The National Program Steering Committee is established by the National Program Management Ministry to assist the Minister in managing and implementing the program and will be dissolved upon completion of the program. The Program Director is a leader of the Ministry, and members include authorized representatives from planning, finance departments, and other relevant departments. The Steering Committee operates on a part-time basis and uses the program management budget for oversight, supervision, and evaluation activities.

The operational rules of the National Program Steering Committee are determined by the National Program Management Ministry based on compliance with Decision No. 531/TTg and this joint circular.

For national programs of special importance, participation of members from ministries and localities in the Steering Committee will be decided by the Prime Minister regarding its composition and operational mechanism.

Duties and functions of the National Program Steering Committee:

On behalf of the National Program Management Ministry, direct personnel arrangements and organize the implementation of the program.

Responsible for compiling periodic reports (quarterly, annual) on the implementation of the program according to prescribed regulations (Section V - Reporting System for Program Implementation), explain unclear issues in the program's operations as required by the government to promptly rectify or report to the Prime Minister for handling.

Coordinate with relevant ministries, sectors, and localities in evaluating and accepting the results of the program's implementation, prepare a final report on completing the program to the Minister of the National Program Management Ministry for submission to the Prime Minister.

2- Central agency assisting the government in managing the program:

The Ministry of Planning and Investment serves as the central agency assisting the government in managing the program, responsible for coordinating with the Ministry of Finance and the Government Office to compile the situation of program implementation and report to the Prime Minister quarterly and annually, identify difficulties and obstacles, and propose timely solutions to the Prime Minister.

3- Local steering committee for national programs:

Article 18 of Decision 531/TTg stipulates that provinces and centrally governed cities shall establish Local Steering Committees for National Programs to assist provincial People's Committees in planning, implementing, and managing National Programs within their jurisdictions.

The local Steering Committee for National Programs has the following responsibilities:

To advise the provincial People's Committee on integrating and allocating targets and funds from National Programs to districts, counties, and relevant departments to implement these programs.

To organize and implement the targets of National Programs within their jurisdiction.

To submit periodic quarterly and annual reports according to prescribed formats for each specific program, evaluating the overall implementation of National Programs in their locality to the Steering Committee Chair, the Ministry of Planning and Investment, and the Ministry of Finance.

To assist the provincial People's Committee in proposing changes or adjustments to project objectives if they find them unsuitable with the actual conditions of the locality, or if they identify inaccuracies in projects that may affect the goals and effectiveness of National Programs, and to report these to the Management Ministries, the Ministry of Planning and Investment, and the Ministry of Finance.

The Department of Planning and Investment serves as the permanent Secretariat of the Local Steering Committee for National Programs, responsible for assisting the provincial People's Committee based on the actual situation and annual and five-year plans for socio-economic development of their locality, coordinating with the Department of Finance and specialized departments to provide opinions on the construction of National Programs, allocation of targets and resources, and management mechanisms for National Programs with the Management Ministries and the Ministry of Planning and Investment.

PART V

IMPLEMENTING PROVISIONS

This Joint Circular takes effect from the date of issuance.

National Programs not yet approved in writing by the Government and lacking the required procedures under Decision 531/TTg must comply with the guidelines of this Circular immediately in the 1997 plan. Ministers, Heads of ministerial-level agencies, Heads of agencies under the Government, and Chairmen of provincial and centrally governed city People's Committees are responsible for implementing this Circular.

During implementation, if difficulties arise, they should be reported to the Joint Ministries for study and resolution.

FORM 1

REPORT

IMPLEMENTATION OF PLANS AND BUDGETS FOR NATIONAL PROGRAMS IN PROVINCES AND CENTRALLY GOVERNED CITIES

AND THE BUDGETS OF NATIONAL TARGET PROGRAMS IN THE PROVINCES AND CITIES

Report on Implementation Quarter, (Six Months), (Year)

Reporting agency:

Record all 16 National Programs. In each program, divide into four main activity indicators: (1) professional activities, (2) infrastructure construction, (3) information, education, and communication, (4) other activities. Each group of activities needs to record key indicators. Specifically as follows:

1. Professional Activities: These are core activities of the program, falling under the functional activities of various sectors. For example: Reforestation and forest care, lending, provision of health and educational services, family planning; medical examination and treatment, prevention and control of prostitution, drug abuse...

2. Infrastructure Construction: These are activities involving the construction of infrastructure and procurement of equipment to support professional activities such as:

Building classrooms, health stations, family planning centers; upgrading medical equipment, providing water supply sources for residents; building rural roads, markets, electricity; broadcasting and television stations, cultural facilities...

3. Information-Education-Communication: These are activities conducted through direct propaganda, media communication; training and professional development of technical staff; supporting managers, volunteers, and communicators at the grassroots level... to effectively carry out the professional activities of the program.

4. Other Activities: These are special activities of National Programs that cannot be categorized into the above three activities.

FORM 2

REPORT

IMPLEMENTATION OF PLANS AND BUDGETS FOR NATIONAL PROGRAMS

(Management Ministries send reports to the Ministry of Finance, the Ministry of Planning and Investment, and the Office of the Government)

Name of National Program:

Report on Implementation Quarter, (Six Months), (Year):

Reporting agency:

In each program, divide into four groups of activity indicators:

(1) professional activities, (2) infrastructure construction, (3) information, education, and communication, (4) other activities. Each group of activities needs to record key indicators according to the concept and examples as in Model 1.