Attaching the public investment capital disbursement with managers’ responsibilities

– On July 14, Mr. Ho Tien Thieu, Deputy Secretary of the Provincial Party Committee, Chairman of the Provincial People’s Committee chaired a meeting to review the disbursement of public investment capital in 2021 and discussed proposals to promote the disbursement of public investment capital in the last month of 2021.

In 2021, the total public investment capital plan of Lang Son province assigned by the Prime Ministers excludes the national target program capital with a total amount of VND 2,761 billion. Based on the capital allocated by the central government and the estimated provincial budget revenue, the Provincial People’s Committee decided to allocate a total public investment capital of 2,911 billion VND. By the end of June 2021, investors have completed the construction and installation valued 1,562 billion VND.

Regarding the disbursement, as of July 9, 2021, investors at provincial and district levels have disbursed 960 billion VND, reaching 34.7% of the set-up plan compared to the central budget allocated and reaching 32.9% of the local plan assigned, lower than the same period in 2020 (in the first 6 months of 2020, the province disbursed 40% of the capital plan).

Discussed at the meeting, participants provided several reasons for low disbursement including slow investment preparation for projects and problems related to site clearance. Some investors are not fully responsible for inspecting and urging contractors to investigate the completed volumes and complete legal documents and procedures for disbursing investment capital.

Mr. Ho Tien Thieu, Deputy Secretary of the Provincial Party Committee, Chairman of the Provincial People’s Committee spoke at the meeting

Regarding solutions to promote capital disbursement in the last 6 months of the year, representatives of relevant departments and functional agencies suggested that investors should raise their responsibility in capital disbursement; There should be a monthly detailed plan related to capital disbursement, reviews, and project implementation assessment in order to have appropriate and timely management solutions.

Concluding at the meeting, the Chairman of the Provincial People’s Committee emphasized: The fast and timely disbursement of public investment capital in 2021 will create a great spillover, contributing to maintaining the socio-economic development and promoting consumption amid  the unpreceded COVID-19 pandemic However, it can be seen that many investors do not show their commitment in instructing and managing construction investment leading to lower the disbursement results in the province compared to the same period in 2020.

Regarding the tasks in the last 6 months of 2021, the Chairman of the Provincial People’s Committee requested: The governing organizations must urge  project investors and relevant units to consider the capital disbursement as an important task which should be attached with the responsibility of leaders; coordinate with districts and city’s governments to promote site clearance as well as expeditiously complete investment procedures for projects  which are scheduled to  be commenced before August 31, 2021.

Regarding projects in the medium-term plan for the period 2021-2025, investors must complete investment preparation before October 30, 2021. Regarding projects using ODA capital, investors must be more drastic in implementing construction, investigating and approving disbursement, and assessing the disbursement ability to adjust capital plans timely; developing a monthly disbursement plan and producing and sending a written commitment to the Provincial People’s Committee before July 25, 2021, used as a legal proof for the year-end review and assessment.

Mr. Chairman of the Provincial People’s Committee assigned the Department of Planning and Investment to review capital sources to advise project investors and relevant units; hold monthly meetings to evaluate the disbursement progress of public investment to ensure that disbursement meets and exceeds the plan. Functional and relevant Departments and branches should carry out inspection frequently and urge investors to complete their projects and have strict measure to deal with contractors lacking responsibilities and/or showing weak capacity causing delays in projects. The Department of Planning and Investment and the Department of Finance are assigned to study the issues related to advancing capital for investors to implement new rural construction projects set up for the year 2021 for the Provincial People’s Committee.