Circular No. 91/2004/TT-BTC Amending Certain Points of Circular No. 111/2003/TT-BTC dated November 17, 2003 guiding the interest rate subsidy for loans under the Project to Invest in Public Passenger Transport Vehicles by Bus in Ho Chi Minh City

CIRCULAR

Amending certain points of Circular No. 111/2003/TT-BTC dated November 17, 2003 guiding the interest rate subsidy for loans under the Public Bus Transport Vehicle Investment Project in Ho Chi Minh City

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Pursuant to the State Budget Law No. 01/2002/QH11 dated December 16, 2002;

Pursuant to Decree No. 60/2003/NĐ-CP dated June 6, 2003 of the Government detailing and guiding the implementation of the Law on State Budget;

Pursuant to Decree No. 77/2003/NĐ-CP dated July 1, 2003 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

The Ministry of Finance amends certain points in Circular No. 111/2003/TT-BTC dated November 17, 2003 of the Ministry of Finance guiding the interest rate subsidy for loans under the Public Bus Transport Vehicle Investment Project in Ho Chi Minh City as follows:

1. Point 2, Section I is amended as follows:

“2. The Ministry of Finance will provide the interest rate subsidy through supplementary targeted funding from the central budget to the local budget; simultaneously replacing the People's Committee of Ho Chi Minh City directly providing to the Urban Development Investment Fund of Ho Chi Minh City.

The subsidy will be temporarily provided for six months; the official annual subsidy amount will be determined after the approval of the Urban Development Investment Fund’s settlement report.” 

2. Paragraph 1.1, Point 1, Section II is amended as follows:

“1.1. Procedure for building, consolidating, and announcing the plan

Based on the project implementation progress, loan plans, debt recovery plans, and projected interest rates for the planning year, the Urban Development Investment Fund of Ho Chi Minh City will build the interest rate subsidy plan for the planning year and submit it to the Department of Finance for consideration and consolidation within the city's budget revenue and expenditure plan to report to the Ministry of Planning and Investment and the Ministry of Finance according to regulations (attached with Form No. 01/CBCLLS of Circular No. 111/2003/TT-BTC dated November 17, 2003 of the Ministry of Finance) before July 25 each year.

Based on the city's budget estimate report from the People's Committee of Ho Chi Minh City and the state budget balance capacity, the Ministry of Planning and Investment and the Ministry of Finance will coordinate to balance within the state budget estimate annually to report to the Government for the National Assembly's consideration and decision.

Based on the targeted supplementary allocation from the central budget to the city budget approved annually by the Prime Minister, the People's Committee of Ho Chi Minh City will submit to the Municipal People's Council for a decision on the interest rate subsidy task according to regulations.

Based on the resolution of the People's Council of Ho Chi Minh City on the local budget estimate, the Department of Finance will submit to the People's Committee for a decision to allocate the interest rate subsidy budget to the Urban Development Investment Fund of Ho Chi Minh City.”

3. The first bullet point in paragraph 2.1, Point 2, Section II is amended as follows:

“- The Ministry of Finance replaces the locality in directly providing the interest rate subsidy to the Urban Development Investment Fund of Ho Chi Minh City. The subsidy amount is determined based on the difference between the subsidized interest rate and the actual average outstanding loan balance of the project.”

4. Point 3, Section II is amended as follows:

“3. Handling the difference between the official subsidy amount and the planned subsidy amount

The difference between the official subsidy amount and the planned subsidy amount will be handled as follows:

If the official annual subsidy amount is higher than the amount allocated in the announced interest rate subsidy plan in the city's budget estimate, the Ministry of Planning and Investment and the Ministry of Finance will arrange additional funding for the following year.

If the official annual subsidy amount is lower than the amount allocated in the announced interest rate subsidy plan in the city's budget estimate, the difference will be carried over to the next year and included in the subsidy plan in the next year's budget estimate (if there is still a difference in the following year) or returned to the state budget (in case there is no difference in the following year).”

5. Point 4, Section II is amended as follows:

“4. Reporting and Settlement

4.1. Quarterly, the Urban Development Investment Fund of Ho Chi Minh City reports to the Ministry of Finance, the People's Committee of Ho Chi Minh City, and the Department of Finance of Ho Chi Minh City on the loan status, debt collection, and anticipated interest rate subsidy amount for the quarter (attached with Form No. 03/CBCLLS of Circular No. 111/2003/TT-BTC dated November 17, 2003 of the Ministry of Finance).

4.2. Annually, the Urban Development Investment Fund of Ho Chi Minh City settles the annual subsidy amount with the Department of Finance of Ho Chi Minh City. The Department of Finance consolidates the interest rate subsidy amount of the Project in the annual settlement report of the city budget and submits it to the competent authority for approval and sends it to the Ministry of Finance according to the current State Budget Law.”

This Circular takes effect 15 days after its publication in the Official Gazette and applies from the 2004 fiscal year./.