Raising budget retention rate for HCM City necessary: Central Economic Commission

14-Jul-2020 Intellasia | The Saigon Times | 6:02 AM Print This Post

At a meeting with the city’s leaders on July 10, Nguyen Van Binh, head of the Central Economic Commission, underscored the need to raise HCM City’s budget retention rate.

According to HCM City Party Committee Secretary Nguyen Thien Nhan, while the city’s contribution to the state budget has been continuously increasing, its budget retention rate has dropped sharply over the past 20 years, from 33 percent between 2000 and 2003 to 23 percent in the 2011-2016 period and 18 percent from 2017 until now.

“The low budget retention rate has affected HCM City’s budget, with the city suffering from a lack of resources to overcome challenges, grow fast and sustainably as well as realise development goals,” Nhan noted.

Therefore, the city expects that its budget retention rate will be increased to boost economic growth and contribute to the development of the country. It is predicted that if the city’s budget retention rate is increased to 24 percent in the 2021-2025 period and to 28 percent in the 2026-2030 period, it can contribute VND345 trillion more to the state budget.



Category: Economy, Vietnam

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