Gov’t to use four instruments for public debt management
VGP – Since August 30, 2010, the Government will apply four instruments in public debt management, according to the newly-approved decree of the PM.
The four instruments include the
long-term strategy of public debts, medium-term program on debt management, the
Government’s annual plans on loans and debt payment, criteria for safety and
supervision of public debts.
First, the long-term strategy of
public debts will evaluate the situations of public debts and public debt
management during the implementation of the strategy which is design on the
basis of 5 or 10-year socio-economic development plans. It also defines
directions for mobilizing and controlling public debts.
Second, the medium-term program
on debt management will comprise goals, tasks and measures on mobilizing, using,
and paying public debts in a three-year period for the purpose of safety.
Third, the Government’s annual
plans on loans and debt payment will be those on domestic loans, foreign loans
and debt payment.
Forth, criteria for safety and
supervision of public debts will center on the proportions of public debts in comparison
with GDP as well as foreign debts and GDP.
Towards transparency in public debts
The decree stipulates that the
Ministry of Finance (MoF) will be responsible for providing information of Governmental
public debts and debt payment, the Government’s guaranteed loans, local loans
and debt payment.
The information will be made
public every six months via news-bulletins on public debts in Vietnamese and
English on the website of the MoF.
