1. Improving Transparency and Accountability in Public Financial Management in Vietnam Presentation by Mr. Pham Quy Tien State Budget Department, Ministry of Finance Vietnam

2. 1. The latest reform (in 2002): National Assembly’s decision of revision of the State Budget Law, which came into effect in 2004 with the main objectives: • To enhance authority and responsibility of the National Assembly and People’s Councils at all levels in budget planning, budget allocation and approval of final accounts. • To renew the decentralised system of finance-budget management to ensure consistency of the national financial system and the key role of the state budget, while enhancing initiatives and creativity at the local level to improve the viability of local budget to meet the assigned mandates in socio-economic development and defence and security.

3. Main objectives (cont.): • To enhance autonomy of line ministries, local governments and units using budget fund, organizations and individuals receiving budget support in management and use of entrusted fund and assets; consolidate order and discipline, practice thrift and anti-wastage. • To strengthen administrative reform in budget management, creating incentives to promote ownership and initiatives of local governments and agencies; • To ensure opennes and transparency

4. 2. Disclosure and transparency of public finane: (is ensured in the budget management process by the National Assembly, People’s Councils at all levels, NA’s functional bodies, the Government, People’s Committees at all levels, the Government’s functional bodies and State Audit) • a/ Functions and mandates of the Government, People’s Committees, Government’s functional bodies and units using state budget fund: • Budget planning and allocation; • Implementing budget assignments; • Accounts finalization.

5. 2. Disclosure and transparency of public finane (cont.): b/ Function and mandates of the National Assembly, People’s Councils at all levels, NA’s functional bodies: • Review and varify budget plan and budget allocation; • Supervise implmentation of budget plan; • Review, verify and approve budget final accounts;

6. 2. Disclosure and transparency of public finane (cont.): c/ State Audit: • Evaluate performance of public finance utilization.

7. 3/ Disclosure of budget plan, budget allocation and final accounts: • Scope and contents of disclosure; • Forms of disclosure; • Time of disclosure; • Handling questions. • Issues to be tackled to achieve the objectives of strengthened opennes, transparency and improved effectiveness/efficiency of public financial resources.