Resolution No. 14/2011/QH13 on the State Budget Estimate for 2012

RESOLUTION

On the State budget estimate for 2012

 OF THE NATIONAL ASSEMBLY
SOCIALIST REPUBLIC OF VIET NAM

Pursuant to the Constitution of the Socialist Republic of Vietnam in 1992 as amended and supplemented by Resolution number 51/2001/QH10;

Pursuant to the Law on State Budget;

After considering Report No. 13/BC-CP dated October 11, 2011, submitted by the Government to the National Assembly on the State budget estimate for 2012; Report No. 135/BC-UBTCNS13 dated October 17, 2011, of the Committee for Finance and Budget on the examination of the State budget estimate for 2012; Report No. 60/BC-UBTVQH13 dated November 9, 2011, of the Standing Committee of the National Assembly on the State budget estimate for 2012 and the opinions of National Assembly deputies;

RESOLUTION:

Article 1. Approving the State budget estimate for 2012

The total revenue of the state budget is VND 740,500 billion (seven hundred forty thousand five hundred billion VND); if including the VND 22,400 billion revenue transferred from 2011 to 2012, the total revenue of the State budget would be VND 762,900 billion (seven hundred sixty-two thousand nine hundred billion VND);

The total expenditure of the state budget is VND 903,100 billion (nine hundred three thousand one hundred billion VND);

The deficit of the state budget is VND 140,200 billion(one hundred forty thousand two hundred billion VND), equivalent to 4,8% Gross Domestic Product (GDP), striving to increase revenue to reduce the deficit below 4.8% of GDP.

(Annexes 1, 2, 3, 4, and 5 attached)

1. To implement a strict fiscal policy; coordinate synchronously with monetary policy to support production and business development, continue to stabilize macroeconomic conditions, control inflation, and promote economic growth. Strengthen financial-discipline and budgetary discipline, implement the state budget estimate in accordance with the provisions of the law. Vigorously inspect, audit, and make public the use of the state budget, especially in areas prone to corruption and waste.

1. Continuing to implement a tight fiscal policy; restructuring State budget expenditure in favor of human resources, ensuring social welfare; adjusting investment expenditure structure to promote economic growth model transformation, encouraging and attracting domestic and foreign investment; coordinating monetary and fiscal policies to control inflation and stabilize macroeconomic conditions; strictly managing State budget revenue and expenditure; ensuring the proportion of State budget expenditure for education, science and technology, culture and information, environmental protection, and healthcare according to the resolutions of the National Assembly; maintaining national financial security.

2. Strictly implementing tax laws; strengthening inspection, auditing, and strict management of State budget revenue, especially revenue from state-owned enterprises, non-state-owned enterprises, and enterprises with foreign investment; collecting fees and charges in accordance with the law, ensuring timely, full, and accurate collection, preventing commercial fraud.

3. As of May 1, 2012: Implementing a minimum wage of VND 1,050,000 per month, a 25% allowance for civil servants and public officials; increasing pensions and preferential allowances for persons with meritorious service at the rate of increase in the minimum wage. Practicing thrift, combating waste, linking with the mechanism of regular expense quotas for administrative agencies; continuing to reform financial mechanisms to accelerate socialization in public service provision. Gradually converting certain fees to service prices based on actual costs, improving service quality in education and healthcare.

4. Reinvesting no more than 30% of annual revenue surplus compared to the revenue estimate but the revenue estimate must exceed the previous year's actual revenue for export taxes and import duties collected at international border gates within the provinces for the provincial budgets. The Government will propose reasonable allocation and usage plans, report to the Standing Committee of the National Assembly for consideration and decision, but not exceeding VND 200 billion per year for a locality to invest in infrastructure for border economic zones from 2012 to 2015 according to the approved investment plan.

5. Issuing VND 45,000 billion worth of government bonds in 2012 for investment in transportation, water conservancy, healthcare, and education, as permitted by the National Assembly; reviewing the project list and developing specific allocation plans for each project and construction work, submitting to the Standing Committee of the National Assembly for consideration and decision before January 31, 2012.

6. Strengthening management of State budget expenditures, particularly basic construction investment, government bond funds, and national target programs; preventing loss, waste, and corruption; strictly managing regular expenditures according to the approved budget.

In 2012, only allow revenue transfer for implementing the new salary system, transferring funds for administrative agencies and public institutions operating under self-financing mechanisms, and funding scientific research projects; reducing revenue transfers in basic construction investment.

Article 3. Supervision of the implementation of the state budget estimate

The Standing Committee of the National Assembly, the Committee for Finance and Budget, the Ethnic Council, and other Committees of the National Assembly, delegations of National Assembly members, and National Assembly deputies shall supervise the implementation of the State budget estimate for 2012 within their respective areas of responsibility as prescribed by law.

This Resolution was adopted by the National Assembly of the Socialist Republic of Vietnam, the Thirteenth Session, at its second meeting on November 10, 2011./.