Brian Jeffrey
The Finance Minister, Mr. Phoc, announced that the state budget revenue in the first half of the year surpassed 1 million billion VND ($43.4 billion), hitting 61% of the annual goal, showcasing a 17.7% increase compared to the same period in 2023.
These positive results were credited to supportive measures for individuals and businesses, leading to a robust economic growth of 6.42% in GDP and 4.08% inflation over six months. Core inflation averaged 2.75% in comparison to the preceding year.
He shared that the Ministry of Finance has enacted approved policies by the National Assembly and the Government, offering tax breaks, fee reductions, and rented property deductions amounting to 184 trillion VND during challenging economic and fiscal circumstances.
Mr. Phoc emphasized that the current expansive fiscal strategies will come to an end this year, transitioning towards bolstering public financial capabilities for infrastructure initiatives and salary adjustments. He underscored the significance of stricter fiscal measures, discontinuing tax breaks, and focusing on eliminating barriers for businesses to stimulate economic progress.
The Minister emphasized the financial strain on large corporations and the operational challenges faced by small enterprises.
He urged local administrations to tackle issues regarding public investment disbursement, highlighting unutilized funds exceeding $43.4 billion while businesses encounter high borrowing expenses.
Furthermore, Mr. Phoc pointed out that the national tax arrears for land usage amount to 98 trillion VND ($4.2 billion), resulting in diminished budget revenues and squandered social resources, thereby instigating societal tensions.
