Laws of Vietnam

1. On principle, as from 2000, the funding for operations of the steering committees for national target programs in provinces and centrally-run cities, and the national target programs’ management boards (including the management boards of national target programs in ministries and central-level agencies and the management boards of national target programs in a number of provincial/municipal local services, departments and branches allowed to be established according to regulations), shall not be deducted in percentage (%) from the budget source already allocated to the national target programs. These funding demands must be allocated from the central budget to the ministries and central-level agencies or from local budgets.

2. Contents of management expenditures:

Because the steering committees and management boards’ operations are mainly part-time, undertaken by specialized management agencies, only the expenses directly related to the work of project direction and management shall be determined, concretely including:

- Expense for organization of conferences on preliminary review and final review of work. This expense shall be calculated according to current regulations.

- Expense for stationery in direct service of the steering committees’ and management boards’ operations.

- Other direct expenses (if any).

The above-mentioned expenses shall be specifically calculated for agencies and units assigned to assume the prime responsibility (the standing bodies or management bodies) and inscribed in a separate line in the unit’s budget estimates. Expense for working-trip allowances for officials in any agency shall be calculated for such agency.

Particularly for the project management board (Board A): funding for the project management boards’ operations shall be deducted from the project capital according to current regulations on the management of capital construction investment capital.

3. Funding estimation, allocation and settlement:

Annually, the units, assigned to act as the steering committees’ standing bodies or to assume the prime responsibility in management of the national target programs, shall include the above-mentioned funding estimate into their general management funding; the financial bodies shall have to consider in detail and include them into the administrative management funding of the ministries, the central and local agencies. The allocation and settlement shall comply with the general regulations.

4. This Circular takes effect 15 days after its signing, the earlier provisions which are contrary to this Circular’s guidance shall all be annulled.

The ministries, the centrally-run agencies and the People’s Committees of the provinces and centrally-run cities are requested to direct their respective agencies and units to comply with the above-mentioned guidance. Any problems arising in the course of the implementation should be reported to the Finance Ministry for consideration and settlement.

For the Minister of Finance
Vive-Minister
PHAM VAN TRONG