Aiming to promote public asset management, Department of Public Asset Management (Ministry of Finance) has built up a strategy for reforming public asset management in period from 2010 to 2020.
Mr Pham Dinh Cuong, Director of Department of Public Asset Management, Ministry of Finance said that the public assets play an important role in national socio-economy. However, there have been certain shortcomings in public asset management.
Uncontrolled and wasteful use of public asset
According to Mr Cuong, weaknesses in public asset management come from inadequate and incomprehensive legal regulations. Implementation and observance of management activity is not professional and inactive. Outdated and unsystematic management procedures etc have caused many negative impacts. For example: part of public agencies, administrative offices’ land or premises, especially in cities have been misused (left vacant, for rent, used for business, services etc). In some cases, activities of procurement, circulating, liquidating assets has fallen outside jurisdiction with wrong standards and procedures, which leads to loss. Concerning investment into new construction, despite significant reform, some assets whose values exceed norms and allowed limits have still been purchased. Public assets are still being misused and wasted.
The reasons for such shortcomings are that from central government to local levels, representatives for public assets’ owners haven’t been aware of quantity and values of the assets under their management. Many administrative offices use public assets without control in allocation and are not self-aware of complying with regulations to report on the asset fluctuation. Even these offices haven’t observed the quantity and value of their assigned assets. Some executives at management levels have not acted in an exemplary manner, been irresponsible or taken advantage of their authority to commit with corruption, which have caused serious consequences and losses.
An appropriate agenda
In Strategy for reforming public asset management in period 2010-2020, the targets are set as follows: Clearly assign rights and responsibilities of the government, direct users of public assets; Meet requirements for economic management mechanism, balance benefits of the government, economic organizations and citizens; Transparent management and use of public assets.
According to Mr Cuong, new reform strategy with orientation contents aims to exploit, use assets, pay attention to investment and make reasonable investment to develop assets, especially social infrastructure serving public and national benefits. To well comply with this strategy, an agenda for each reforming period has been given out.
In particular, from 2011 to 2017, Department of Public Asset Management will concentrate on completing documents guiding compliance with the laws on public asset use and management in state agencies and administrative office. At the same time, related ministries and departments will build an introduce documents to implement Governmental Decree on infrastructure asset management. During that time, Department of Public Asset Management will review, finalize and re-evaluate the current land financial policies as well as consider restructuring organization and process of how to determine the value of state assets when taking transactions that need determining value under the regulation.
From 2015 to 2020, based on finalization and evaluation on compliance of Law on State Asset Management and Use in period 2011-2015, Department of Public Asset Management will consider building the law added and modified in the direction of expanding the scale, objectives of the law, which will cover all types of state assets under Civil Code; boosting the provision of services by other economic sectors, in which self-managed administrative units will change into enterprises; applying fixed spending mechanism instead of equipping with some types of state assets.
Huong Giang
Vietnamese
