The National Assembly is concerned that government bonds are mainly issued through banks.

This negatively affects interest rates and borrowing costs for businesses, making it difficult for businesses to access capital.

Chairman of the National Assembly's Economic Committee Nguyen Van Giau said: Some opinions are concerned about the issuance of large-scale government bonds, but mainly through commercial banks, accounting for 86% of the total mobilized government bond sources. This will significantly affect the flow of credit investment into production and business, negatively impact the interest rate level and borrowing costs of enterprises, and some opinions say that this is one of the reasons for difficulty in accessing credit loans.

Chairman of the Economic Committee Nguyen Van Giau. Photo: Ngoc Thang

This opinion was given in the Report on the verification of the Government's Report on supplementary assessment of the results of the implementation of the socio-economic development plan and state budget in 2013; the implementation of the socio-economic development plan and state budget in the first months of 2014.

Also according to this report, members of the Economic Committee said: The progress of disbursement of the social housing support package that has an impact on the real estate market (30,000 billion VND) is low, as of March 15, 2014, only 1,322 billion VND, equivalent to about 4.41%, has been disbursed to 3,023 customers.

Many opinions highly appreciated and believed that the Government's recent adjustment of public investment management was an initial success, especially the strict control from investment policies to consideration of capital allocation for each project, construction, and locality... which has basically overcome the situation of scattered investment and reduced waste. At the same time, the National Assembly's decision to mobilize an additional VND 170 trillion from government bonds to be deployed in 3 years (2014-2016) has impacted the total demand of the economy, supplementing capital for many large projects that are being implemented unfinished such as the projects to renovate and upgrade National Highway 1A and Ho Chi Minh Road through the Central Highlands (National Highway 14); some hospital projects; the National Target Program on New Rural Development. The drastic and timely implementation of this policy will bring about clear results in the last months of 2014 and 2015.

However, in terms of managing and using public assets and the country's wealth in the most effective way, it is recommended that the Government direct a focus on reviewing and strengthening the management of public investment more closely, determined to cut out unreasonable things and handle and hold responsible to the end for the leaders when violations or waste occur in each project and each work. Note to review some projects and traffic works if the design follows the old way with signs of waste. Specifically, building new bridges to replace old bridges with many times the scale (some bridges on National Highway 1, Trung Luong - Bac My Thuan bridge section; most highways with some sections designed to plant flowers, inner-city roads (cities, towns) with flower-planted median strips are both a waste of land, costly to purchase, maintain, and repair, and hinder traffic...

In addition, the investment and urban reclassification of some localities is too fast while these localities themselves have not balanced their budgets, especially in difficult times with large budget deficits and rapidly increasing public debt. The urban reclassification, construction of new headquarters and some other projects are not really urgent and have not created public consensus.

It is recommended that the National Assembly, National Assembly agencies, National Assembly delegations, National Assembly deputies, and People's Councils at all levels organize extensive supervision and have a policy of strong adjustment on this issue. "It is necessary to review administrative management expenditures, expenditures for career activities, adjust spending priorities for people, and at the same time have measures to raise the sense of responsibility for public service of cadres and civil servants" - the Report emphasized.

The Economic Committee also proposed that the Government continue to more effectively handle the issue of inventory, bad debts of enterprises, bad debts of banks, debts of basic construction, improve the stability and health of the markets: currency, securities, real estate. Accelerate the equitization of state-owned enterprises, rapidly develop supporting industries, have solutions to increase domestic value for projects with foreign direct investment (FDI). Strengthen guidance and strictly manage the import and export of goods through unofficial channels at Vietnam's border gates with neighboring countries to ensure smooth and safe flow of assets of enterprises and people; prevent and handle according to law the acts of producing and trading in counterfeit goods, goods with poor food hygiene and safety that affect people's health and lives and seriously affect domestic production./.

According to vov