Nghe An National Assembly Delegate Nguyen Thanh Hien: Revenue exceeding estimates mainly relies on housing and land

6th session - 14th National Assembly. Photo: VNA

In the morning, 26 delegates participated in the discussion. All delegates agreed on the Government's efforts in stabilizing the macro-economy, curbing inflation, improving major balances of the economy; and the increasingly effective coordination between state agencies in managing fiscal policy, monetary policy and macroeconomic policies.

The Government, ministries, branches and localities have proactively and actively implemented solutions to comprehensively and effectively complete the socio-economic development and state budget targets in 2018.

Deputy Head of the National Assembly Delegation of Nghe An province Nguyen Thanh Hien speaks at the discussion. Photo: Thanh Loan

Speaking, Mr. Nguyen Thanh Hien - Deputy Head of the National Assembly Delegation of Nghe An province affirmed that the management and use of the Government's medium-term public investment capital has achieved many positive results.

In particular, the implementation of the Law on Public Investment has made fundamental changes in the method of management, balancing, and allocation of national financial resources for development investment, shifting from the management mechanism according to the annual investment plan to the medium-term plan linked to the annual plan. Overcoming the situation of arbitrary decisions on policies and investment decisions, not based on the ability to balance capital as well as the situation of investment exceeding the assigned capital plan.

However, delegate Nguyen Thanh Hien also expressed concerns about a number of issues related to the medium-term public investment plan. Accordingly, the state budget revenue in 2018 exceeded 39.2 trillion VND, an increase of 3% over the estimate, but this result has not yet achieved a number of goals in the National Assembly Resolution.

Of which, the revenue exceeding the estimate mainly comes from housing, land, and crude oil; but in reality, revenue from economic sectors does not meet the estimate. For localities, the local budget revenue overall exceeds the estimate, but mainly increases from land. If land fees are excluded, some localities are expected to have a revenue shortfall.

In addition, the budget deficit has not decreased, tax evasion and transfer pricing in large enterprises are quite common. Thus, the state budget revenue in 2018 as well as previous years is still unstable.

Regarding state budget expenditure, some social security policies are still not consistent and have not achieved the set targets; poverty reduction policies still mainly focus on income poverty reduction, leading to the policy not being effective; Some social security support spending policies still overlap in terms of targets; there is still the phenomenon of policy exploitation.

The Deputy Head of the National Assembly Delegation of Nghe An province also proposed a number of solutions such as: continuing to strongly improve the investment and business environment, creating a level playing field for enterprises of all economic sectors; paying attention to preferential policies on land, access to capital and credit.

Mr. Nguyen Thanh Hien also suggested that the National Assembly and the Government should prioritize investment in implementing key projects such as: roads, North-South high-speed railway, seaport system, and airports. At the same time, there should be measures to remove difficulties in mechanisms and expand investment methods to complete the coastal route from Quang Ninh province to Nghe An province, which has been approved by the Prime Minister and agreed on investment policy and implementation since 2015.