Allow adjustments to pensions and social insurance benefits from salary reform funds.
By Google News Personal Finance ·
With 471 out of 471 delegates present voting in favor, the National Assembly this morning passed the Resolution on the State Budget Estimates for 2027.
The National Assembly resolved that the total state budget revenue would be over 3.34 trillion VND. Of this, central government revenue would be over 1.77 trillion VND, and local government revenue would be over 1.58 trillion VND.
The National Assembly's resolution states that the total state budget expenditure is over 4 trillion VND. Of this, central government expenditure is over 2.36 trillion VND, including an estimated 408,747 billion VND to supplement local budget balances and an estimated 311,363 billion VND for targeted supplementary local budgets.
Local government budget expenditures totaled over 1.7 trillion VND, excluding expenditures from targeted supplementary sources and budget balancing funds.
The National Assembly resolved that the state budget deficit would be VND 739,597 billion, equivalent to 4.5% of the gross domestic product (GDP). Of this, the central government budget deficit would be VND 588,818 billion, equivalent to 3.6% of GDP, and the local government budget deficit would be VND 150,779 billion, equivalent to 0.9% of GDP.
The total amount of government borrowing is over 1.27 trillion VND.
The resolution also specifies the percentage allocation of state budget revenue in each locality between the central and local budgets. Specifically, for corporate income tax and personal income tax under the State Budget Law, Hanoi and Ho Chi Minh City receive 25%, while the central budget receives 75%.
Quang Ninh and Dong Nai receive 65%, with the remainder going to the central budget. Hai Phong and Da Nang receive 75%, with the remaining 25% going to the central budget.
The remaining provinces and cities receive 80%, while the central government budget contributes 20%. For localities with projected local budget revenue exceeding projected expenditure, the difference is allocated to development investment expenditures from the local budget, with priority given to key projects.
The National Assembly has instructed the Government to direct ministries, central and local agencies to manage the 2026 state budget strictly, proactively, and flexibly; strive to achieve the highest possible completion of state budget revenue collection; manage expenditures economically and efficiently; strive to disburse 100% of the public investment capital plan; and control budget deficits, borrowing, and debt
repayment within the limits decided by competent authorities.
The government will supplement the central budget's salary reform fund from savings in recurrent expenditures of the state budget in 2026 of ministries and central agencies as stipulated in Government Resolution No. 135.
With savings from local government recurrent expenditures, the National Assembly allows the funds to be used to finance social welfare policies issued by the central government in 2026 (the portion of funding required from local governments), and the remainder will be allocated to key infrastructure projects.
If the funds are not fully utilized in 2026, they will be carried over to 2027 to continue implementing these tasks.
The increased central government budget revenue in 2025 allocated for the construction of integrated primary and lower secondary boarding schools in land border communes (including both allocated but unused funds and unallocated funds) will be carried over to 2027 for continued…
Originally published by Google News Personal Finance
