Vietnam Public Spending Assessment 2014: Grounds for Effective Policymaking and Action Programming

10:15:13 PM | 9/29/2014

The Ministry of Finance recently coordinated with the World Bank (WB) to organise a workshop on the initiation of the Vietnam Public Expenditure Assessment Report 2014.
Public expenditure assessment is an important activity to determine the results as well as limitations in government spending management. With public expenditure evaluation, the Government will have the ground for building more appropriate and effective policies and action programmes, especially better treating growth objective in couple with poverty reduction and international integration. Based on public spending assessment results in 1996, 2000 and 2004, the Prime Minister assigned the Ministry of Finance, the Ministry of Planning and Investment and relevant units to build the Vietnam Public Expenditure Assessment Report 2014 in May.
Public Expenditure Assessment Report covers three basic contents: Public spending at a glance, assessment of public spending on five key economic fields (transportation, agriculture, health, education, and scientific and technological research), and assessment of public expenditure policies in five representative provinces and cities.
Deputy Finance Minister Nguyen Cong Nghiep said governmental agencies need to cooperate closesly with the WB and donors from the stages of surveying, scheme building and data preparation to the stages of building assessment programmes, performing professional assessments and making overall reports.
He said that the Ministry of Finance has cooperated closely with the WB on some important issues like drafting report outlines, which include overall spending, industry spending and locality spending. The both sides also discussed and agreed on data requirements, data updating, data collecting and data sorting for building reports and roadmaps; steps to carry out assessment contents; and assignments for each side.
Victoria Kwakwa, World Bank Country Director for Vietnam, said the Government of Vietnam has taken a significant step to initiate the Vietnam Public Expenditure Assessment Report 2014. She also confirmed that the WB and other development partners are ready to provide professional and technical support for Vietnam to assess public finance policy issues and share experiences and international perspectives with Vietnam.
“Public spending assessment is not an activity solely of the Ministry of Finance, but it also requires the active involvement of line ministries and local governments. Public expenditure assessment must focus on some of the most important financial issues and does not need to introduce solutions to all public finance policy issues. This will produce general conclusions and recommendations. Public expenditure evaluation is considered a core activity in the Government’s public financial functions and a vehicle for the Government to strengthen its capacity in public spending analysis," she said.
The Workshop on the Initiation of Building Vietnam Public Expenditure Assessment Report 2014 was a forum for officials and domestic and international economists to discuss, exchange and share experience. The workshop delved into international spending assessment; overview of public spending assessment data; international experience of public expenditure assessment and application to Vietnam; and introduction of outlines for public spending assessment in ministries, branches and localities.
Hai Anh