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Provinces told to cut spending on administration buildings

Provinces are asking for money from the state budget to build new administration centres, but National Assembly deputies say the projects are a waste when Vietnam's public debt is rising.

Provinces are asking for money from the state budget to build new administration centres, but National Assembly deputies say the projects are a waste when Vietnam's public debt is rising.

Provinces told to cut spending on administration buildings - 1

Hai Phong Province wants new administrative centre at a cost of nearly VND10trn

Ha Tinh Province authorities want to build an administrative centre at a cost of up to VND2.2trn. They say a new building complex is needed because the one they use is falling down. But they say they will find investors to support part of the cost.

Hai Duong Province wants a VND2trn administrative centre, with half to be paid by the state budget.

Duong Trung Quoc, a national assembly deputy, said the effectiveness of such administrative centres should be reconsidered.

"As public debt grows, localities must be more careful in spending and put more effort into generating revenues," he said.

Bui Duc Thu, of the National Assembly's Finance and Budget Committee, said, "By the end of the year, Vietnam's public debt to GDP ratio might reach 61.3 percent and 63.2 percent by the end of 2016. Spending money on headquarters or statues are not suitable right now."

National Assembly deputy Do Van Ve said there were more urgent public needs, and poor provinces should halt such plans.

Source: nld, dtinews.vn
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