The economic report revealed the total value of support packages for production, business and social welfare was estimated at VND600 trillion (US$25.8 billion).
The State budget deficit and rising public debt are among the biggest macro-economic risks facing Viet Nam, making it more difficult for the Government to help the economy head towards growth.
The Ministry of Finance (MoF) expects to keep this year’s State budget deficit at 3.7 per cent of the GDP, below the 3.9 per cent mandated by the National Assembly.
The pressure on the budget deficit will likely increase in the remaining
months of this year due to the anticipated rapid rise of investments in
capital construction.
The budget deficit in the first half of the year hit VND82.9 trillion
(US$3.7 billion) due to rising recurrent expenditures and the repayment
of debts, the General Statistics Office reported.
Economists last Friday urged the Government to tighten management of
public spending to reduce the budget deficit and to ease pressures
caused by the public debt.
Three-year bonds may issue until the end of this year
as the Government attempts to balance the budget deficit, said the
latest bond report from Baoviet Securities Company (BVSC).