Capital construction investment in the 2011-2015 – Leverage for socio-economic development

In the last 5 years (2011- 2015), Binh Duong continued to invest in capital construction. Accordingly, in addition to investment promotion, Binh Duong province has put more effort into attracting social capital resources to develop infrastructure, leveraging socio-economic development.

 Promoting investment efficiency

In recent years, the allocation of capital construction investment, Binh Duong province has been proactive and flexible in allocating capital to key, urgent projects in order to satisfy timely needs and orientations of local socio-economic development.

In the 2011-2015 period, PPC promulgated a decision to allocate development funds of more than VND21,115. Regarding construction capital disbursement, capital supported by the Central achieved 88.36% target; capital of national target programs, official development assistance (ODA) reached 100% target; budget balance capital reached 99.97% target; lottery capital reached 99.36% target. In the 2011-2015 period, the province completed and put into use 316 works.

In 5 years (2011-2015), Binh Duong continued to focus on capital construction investment. Image: DT744 road project was completed and put into use.

Phu Huu Minh, Deputy Director of provincial Department of Planning and Investment, said that the implementation of capital construction in the 2011-2015, measures on capital construction investment management, investment capital allocated towards concentration; while capital construction arrears was gradually controlled; administrative procedures in capital construction were improved; many key projects and new rural construction projects were completed and put into use efficiently.

Investments from state budget accounted for small proportion (6.7%) in total development investment capital, and were allocated for key projects, motivating investments from other social sources to enhance infrastructure. Besides, the decentralization of funding projects within described limits to communal People’s Committee Chairmen has accelerated construction progress, simplified administrative procedures, eliminated backward mechanisms, ensured transparency in the allocation and management of capital construction investment.

During 5 years, the management of budget of district and commune level in the province was improved, meeting increasing requirements of capital construction management. Furthermore, the planning for capital construction was also well performed. Many important projects were implemented seriously and efficiently. The allocation of capital construction investments got good results, and was completed towards concentration, prioritized urgent projects, minimized new groundbreaking. All levels also paid much attention to inspection works to improve the efficiency of State management in investment.

Improving management quality

At the latest meeting with Department of Planning – Investment and People’s Committees of localities on the implementation of capital construction in the 2011-2015 in the province, Huynh Thanh Long, member of Provincial Party Standing Committee, Vice Chairman of Provincial People’s Council, informed that in addition to good results, capital construction investment in this period still had shortcomings: localities were not flexible in balancing budget to solve urgent projects; lacked synchronous management measures, monitoring…  Besides, although allocated funds were carefully computed to ensure development orientations and needs of each locality, capital construction tasks of units have not been well completed.

Mr. Long said, all levels, sectors needed to strengthen investment management in all phases from planning, investment preparation, project construction, fund allocation to implementation, supervision, and audit; carefully select projects to invest, gather capital and resources for urgent, key projects; minimize new construction of unnecessary projects. In the other hand, reorganize planning, evaluating, approving projects; review existing projects to strengthen efficient projects, stop and transfer inefficient investments to mobilize other resources and reduce pressure on the state budget...

In order for invested projects to be effective in the future, all levels and sectors need to improve the planning, complete other related plans to be consistent with the overall socio-economic development plan.

Mr. Minh also said, the role of authorities in capital construction investment management needed to be enhanced, supervision and inspection should also be strengthened. Localities have to assess advantages and disadvantages while implementing power decentralization on funding projects; regularly evaluating abilities and experiences of constructors…

Reported by P.Le – Translated by Ngoc Huynh