SOCIALIST REPUBLIC OF VIỆT NAM
Independence – Freedom - Happiness
Hà Nội, April 9, 2012
The Government’s regular meeting- March 2012
The Government on 31 March-1 April convened its regular meeting in March, 2012 to discuss and decide the following issues:
1. The reports: dealing with updates on socio-economic performance in 2011 and implementation of socio-economic plan in 2012; the socio-economic situation in March and the first quarter of 2012; updates on State budget fulfilment in 2011 and State budget performance in 2012; inspections and settlement of complaints and denunciations, and anti-corruption work; administrative reforms; Vietnam’s fulfilment of international commitments; implementation of the Government’s Resolutions and working agenda in the first quarter in 2012 presented by the Ministers of Planning and Investment, Finance, Home Affairs, and Foreign Affairs, the Government’s Inspector- General, and the Minister-Chairman of Office of Government.
- Supplementary evaluation of socio- economic situation and State budget in 2011: Based on the results recorded in the first nine months in 2011 and forecasts for the last months, the Government reported the National Assembly about the country’s socio-economic situation and State budget performance in 2011, and the socio-economic development plan and the State budget for 2012 at the 2nd session, XIIIth National Assembly. By summarizing the situation and data in 2011, the Government unanimously evaluated that: In the context of difficulties and challenges, under the Party’s thorough leadership and the Government’s drastic guidance and management, with the determination of the entire political system and efforts of enterprises and people, socio-economic performance in 2011 has brought about positive achievements. Basic socio-economic targets have been achieved as reported to the National Assembly; with some of which reaching higher rates than the set plans. Economic growth hit 5.89%, the rate that was quite high in the condition in which the country was making effort to control inflation and stabilize the macro-economy. Consumer price growth has been gradually decreased; credit structure has been changed positively; the foreign currency and gold markets have been basically put under control; budget revenues have increased sharply; overspending has decreased; exports have grown at a rate that accounted for three forth of the proposed targets; trade deficit has decreased strongly. Agricultural production has developed stably, ensuring food security, improving living standards and income of farmers; the services sector has continued to develop; total turnover from retail sales and services has increased; tourism activities have been bustling; the number of domestic and international tourists has soared. Social welfare has been given due attention; social policies have been carried out positively, contributing to addressing difficulties in people’s life. Education and training, science and technology, health, culture and information, sports and physical training have been improved. Employment and poverty reduction have been given much attention. Administration reform and anti-corruption have continually been sped up. Foreign relations have brought many good results. Political security and social order and safety have been maintained. National defence has been strengthened to ensure the national sovereignty.
However, some targets have not been achieved as planned; the macro-economy has not been really stable; the quality of growth and competitiveness of the economy have still been weak; economic structure has transformed slowly; inflation has still been high; some pressing social and environmental issues have not been solved yet.
- The Government also unanimously agreed that: The socio-economic situation in March and quarter I/2012 has been changed; measures to rein in inflation and maintain macroeconomic stabilization have continually proved efficient. Consumer price index in March has increased only 0.16% over the previous month and 2.55% year on year. Credit interest rate has decreased; the liquidity of banking system and foreign exchange reserves has been improved; the exchange rate has been stabilized; the securities market has been recovered and gradually developed. Total social investment capital has increased, of which FDI and ODA disbursement has been carried out well. Production and business activities, though in the difficult conditions, have still maintained growth. Export turnover has increased 23.6% over the same period last year; trade deficit has decreased, equivalent to 1% of export turnover, which was the lowest level in comparison with those in the same period in many recent years. Tourism activities have been very hustle and bustle; the number of international arrivals has risen strongly. Cultural, information and sport activities have continually developed. Social security and welfares have been ensured; pressing social issues have been paid attention to and solved; traffic accidents have decreased; there were positive improvements in traffic order and safety. National defence and security have been strengthened; politic-social situation has been stabilized; foreign relations have continually gained positive results. Administrative reform, inspection and settlement of complaints and denunciations, the fight against corruption and waste and the thrift practice have been given due attention and guidance. Economic restructuring plan, which focuses on three key fields, has been performed positively.
However, many difficulties and challenges have still existed: Economic growth in the first quarter has only stood at 4%, lower than that recorded in the same period and the fourth quarter, 2011. Interest rates have still been high though being trimmed down; enterprises’ access to credit capital has still been limited. Industrial production has increased slowly with consumption power decreasing and inventory being surplus. Long and damaging cold spell in the North and cattle and poultry epidemic diseases have affected farming and breeding plans; drought caused forest fires in some places. Overload situation in hospitals and food hygiene and safety still remain a pressing issue. A proportion of people, particularly those live in poor areas, minority people-inhabited areas, hinterland and remote regions has still faced difficulties in life. Traffic accidents, social evils, crimes, complaints and denunciations have still been developing in a complicated manner.
Assign the Ministry of Planning and Investment and the Ministry of Finance to take the lead in collecting comments sent by the Government members; complete the report supplementing the fulfilment of socio-economic plan and State budget estimation in 2011, the implementation of socio-economic plan and State budget in 2012; and report to the Prime Minister before submitting it to the National Assembly.
The Government asked the Ministries, agencies and localities to focus on addressing difficulties and challenges; keep a close eye on the situation while persistently continuing with the set targets and well and efficiently performing tasks and solutions as stated in the Resolutions of the Party, National Assembly and Government, particularly the Resolution No. 01/NQ-CP dated January 3, 2012 and the Government’s Resolutions, focusing on the following key tasks:
- The State Bank of Vietnam takes the lead in coordinating the ministries, agencies and localities to recommend efficient measures to quickly handle a group of poor-performing banks to create good liquidity for the economy; continues implementing the roadmap of reducing interest rates and clear difficulties to increase enterprises’ capital access; regulates the exchange rate proactively and flexibly in compliance with market developments to prevent big fluctuations from happening.
- The Ministry of Planning and Investment takes the lead in working with other ministries, agencies and localities to quickly review the health of enterprises to recommend measures to promote production; quickly make public and plan the distribution of the Government bonds; provide part of capital as planned to ensure the construction tempo and quality of important and urgent works and projects regarding transport and irrigation.
- The Ministry of Industry and Trade takes the lead in cooperating with ministries, agencies and localities to carry out measures to develop the domestic market and support the consumption of products made by enterprises, reduce inventory, bring goods and services to rural areas and renovate purchase and distribution channels; increases trade promotion and export market expansion activities; continues removing difficulties and recommending mechanisms and policies to speed up production.
- The Ministry of Agriculture and Rural Development works together with localities to proactively follow the situation, promptly respond to complexity of natural disasters and speed up the tempo and quality of works to prevent and fight floods and storms; provides guidance on agricultural production as planned; takes the lead in cooperation with the Ministry of Health and localities to early inspect, conclude and declare publicly pork production and processing regions where food hygiene and safety standards are ensured; continues to develop export market for farm and aquatic products.
- The Ministry of Finance takes the lead in issuing guidance for State budget collection, thus trying to reduce budget overspending; increases inspections and controls and strictly handle those who increase prices inappropriately, particularly that of important raw materials and essential consumer goods; prevents pricing transfer, tax evasion, contraband goods and speculation to spark market turbulence; reports to the Government at the regular meeting - April 2012 the State-owned enterprise restructuring Project.
- The Ministry of Labor- Invalids and Social Affairs takes the lead in working with localities to continue implementing well social welfare policies; carries out efficiently the National target program on sustainable poverty reduction; proactively and thoroughly follow people’s lives, especially families benefiting from preferential treatment policies, poor families, and those living in the hinterlands and remote regions in order to promptly take supportive measures to prevent them from falling into hunger.
- The Ministry of Transport takes the lead in coordinating with the Ministry of Public Security and localities to continue implementing, tracking and evaluating the adopted measures to fight traffic congestion; carries out decisively and continually the measures to reduce traffic accidents nationwide; gives guidance to speed up the construction tempo of key traffic works; cooperates with the Ministry of Finance to examine carefully a project on fee collection from individual road users; takes into consideration different viewpoints and public opinions, provides information and holds dialogues publicly and fully on related policies and recommends suitable, feasible implementation roadmap in line with law.
- The ministries, agencies and localities continue speeding up the administrative reform and the fight against corruption and waste. The Government inspectorate, agencies and localities focus on solving complaints and denunciations, particularly those related to land and unsettled cases; increase the organization of on-the-spot dialogues to completely deal with cases emerging right at localities; prepare the good organization of a national conference on the issue in April 2012.
- The ministries, agencies and localities focus on implementing the tenure working program and the 2012 working program of the Government; carry out the new working Regulation adopted by the Government and base on that to quickly review, amend and supplement their working Regulations toward improving the working manner and enhancing management effectiveness and efficiency.
- The Ministry of Information and Communication takes the lead in cooperation with the Central Committee for Popularization and Education, related ministries and agencies to provide more guidance on information orientation and popularization on the set targets and tasks in line with adopted guidelines and policies. The ministries and in-charge agencies instruct the press, particularly electronic newspapers, to carry orthodox and objective news and articles in order to create social consent; and simultaneously, strictly deal with the provision of incorrect and distorted information which causes difficulties for the implementation of policies and damages interests of both the State and people.
2. The Government members discussed and provided opinions about the report on State budget balance sheet in 2010 submitted by the Minister of Finance.
The Ministry of Finance is assigned to gather comments from the Government members and the results of audit of the State budget presented by the State Audit Agency at the session, complete the report on State budget balance sheet in 2010, and submit it to the National Assembly on behalf of the Prime Minister and the Government.
3. The Government listened to the draft of the Project on restructuring the economy in combination with transforming growth model toward increasing the efficiency, productivity and competitiveness of the economy during 2011 - 2015 and orientation to 2020 submitted by the Minister of Planning and Investment.
The Government asked the ministries, ministerial-level agencies, agencies under the Government to provide opinions in writing for the Project draft, especially recommendations for the contents pertaining to the industries and fields within their functions and tasks, and deliver such opinions to the Ministry of Planning and Investment before 15 April, 2012 for assembling and completing the Project and reporting it to the Prime Minister before submitting it to the National Assembly.
4. The Government members discussed and commented on the draft of a Decree amending the National Assembly’s Decree No. 49/2010/QH12 regarding the national key projects and works to be submitted to the National Assembly for deciding, presented by the Minister of Planning and Investment.
The Ministry of Planning and Investment is assigned to take the lead in coordination with the Ministry of Justice and the Government Office to complete as soon as possible the draft of a decree guiding the implementation of Decree No. 49/2010/QH12, submit it to the Government for consideration and deciding; and at the same time coordinates with the Ministries, agencies and local authorities to review the preparation of the projects which are classified to be reported to the National Assembly, determine their inevitability and propose the contents that need to be amended or supplemented to fit the new situation, reports them to the Prime Minister before sending them to the National Assembly.
5. The Government members discussed and provided opinions about the Strategy on science and technology development for the 2011 - 2020 period, submitted by the Minister of Science and Technology.
The Strategy on science and technology development must define the target of turning science and technology into a key driving force to stimulate socio-economic development, meeting the practical demands of life; synchronously develop social science and humanity, natural science, technical science and technology, to actively serve the national industrialization and modernization. From this target, it is necessary to determine tasks and solutions to implementation that are suitable and feasible, demonstrating the renovation in the State’s management mechanism, promoting the autonomy of scientific agencies, making mechanisms to put scientific and technology initiatives into life, encouraging enterprises as well as scientists to develop and apply technology and science, and maximizing both potential and strength of science and technology.
The Ministry of Science and Technology is assigned to take the lead in coordination with other related ministries and agencies to collect comments from the Government members, finalize the Strategy on science and technology development for the 2011 – 2020 period, then submit it to the Prime Minister for signing and issuing.
6. The Government members discussed and commented on orientations for the making of the Law on terrorism prevention and fight; the Law on science and technology (revised); and the Law on employment, submitted by the Ministers of Public Security, Science and Technology, Labor, Invalids and Social Affairs.
The Ministries of Public Security, Science and Technology, Labor, Invalids and Social Affairs are tasked to take the lead in coordinating with the Ministry of Justice and the Government Office to garner comments sent by the Cabinet members, and continue to study, complete these bills and submit them to the Government before submitting them to the National Assembly Standing Committee and National Assembly as scheduled, ensuring their quality./.