ODA, foreign loan disbursement standing at just 7.5 pct.

Illustrative photo (Source: VNA)

Hanoi - Only 7.5 percent of official development assistance (ODA) and foreign loans have been disbursed since the beginning of the year according to the Ministry of Finance (MoF).

This rate is too low, Deputy Minister Tran Xuan Ha told a June 11 meeting between ministries and sectors on disbursement.

He proposed that ministries, sectors, and project owners adopt more drastic measures to complete their tasks.

Truong Hung Long, director of the ministry’s Debt Management and External Finance Department, cited data from ministries and sectors in saying that, as of June 10, only 1.25 trillion VND (54.6 million USD) worth of ODA and foreign loans had been disbursed, equivalent to 7.53 percent of the assigned estimate.

Only five out of 13 ministries and sectors have disbursed public investment from ODA and foreign loans this year.

The MoF said the partial completion of investment procedures for investment projects has resulted in slow disbursement, together with the COVID-19 pandemic.

Many projects that have been allocated capital and completed investment procedures, meanwhile, have been slow in site clearance and resettlement.

To fulfil disbursement plans, Long stressed the need for synchronous and drastic measures in the entire political system, the Government, ministries, sectors, and localities.

It is necessary to review the detailed allocation of estimated capital to each project, ensure the progress and disbursement needs of each project, remove obstacles and difficulties in project implementation and disbursement, and speed up disbursement for potential projects and those that have completed investment procedures, bidding, and contract approval.

The MoF also suggested that the Ministry of Planning and Investment coordinate with relevant agencies in reviewing and evaluating public disbursement in the past, clearly identifying any difficulties and obstacles and proposing solutions to address them.