The National Assembly, the top legislative body in Vietnam, on November 1, 2005 passed the State budgetary resolution for next year with over-expenditure to be curbed at around VND48.5 trillion (US$3 billion), or 5 per cent of the GDP.
The NA targeted the State budget revenue to reach VND237.9 trillion (US$15.1 billion), equivalent to 24.5 per cent of the gross domestic product (GDP). This figure will be added with VND8 trillion from revenue for 2005, bringing the total collections in 2006 to VND245.9 trillion (US$15.7 billion).
The expenditure for next year is expected at VND294 trillion (US$18.6 billion).
The NA also approved to raise tax collection from crude oil by VND4.4 trillion to VND63.4 trillion (US$4 billion) in 2006 with the estimated price of US$56.7 per barrel.
Of the spending, the country will spend VND81.5 trillion on economic development and VND11 trillion for national reserves, he said.
Minister of Finance Nguyen Sinh Hung explained that Vietnam needed a big sum to deal with possible breakout of bird flu epidemics and complicated natural calamities.
Also according to current NA sitting, Vietnam’s total State Budget revenues in the past five years increased 18.1 per cent per year on average, which is higher than the growth rates of both GDP and inflation.
The State budget collections were estimated to reach VND760 trillion (US$48.1 billion) in the 2001-2005 period, an increase of VND140 trillion, or 22.6 per cent, from the projection.
In 2005 alone, the State coffer is expected at VND210.4 trillion (US$13.3 billion), up VND27.4 trillion from initial estimation and equal to 25.1 per cent of the GDP. Meanwhile, the expenditure is forecast higher, at about VND258.5 trillion (US$16.3 billion).
P.V
Vietnamese
