RESOLUTION ON SOCIO-ECONOMIC RECOVERY AND DEVELOPMENT PROGRAM PASSED

With 424 out of 426 votes in favor, the National Assembly approved the Resolution on socio-economic recovery and development program on January 11 in Ha Noi.

The resolution aims to revitalize and develop production and business activities; promote growth momentums; strive for 6.5-7percent annual GDP growth rate in the 2021-2025 period.

The National Assembly permitted overspending of State budget in 2022 and 2023 with an average of 1-1.2% of GDP (maximum of VND 240 trillion).

Regarding tax, the Resolution slashes value-added tax by 2 percent to 8 percent for groups of goods and services currently being applied the 10% VAT rate except for telecommunication services, information technology, financial activities, banking, securities, insurance, and real estate business.

The lawmakers agreed to put aside VND 176 trillion from the central budget for development investment in modernizing grassroots healthcare system, regional disease control centers, central level hospitals, and other public investment projects in 2022 and 2023.

The National Assembly gave a nod to provide the Viet Nam Bank for Social Policies with a maximum of VND5 trillion on preferential loans.

Another VND 3,150 billion will be spent in building, renovating, upgrading and modernizing vocational training sites and social support establishments.

Enterprises, collectives, and household businesses will benefit from 2% borrowing interest rate with a maximum of VND 40 trillion.

Another VND 113.5 trillion will be given to develop transport infrastructure, IT, digital conversion, landslide prevention, and climate change response.

In addition, the National Assembly also approved VND 46 trillion of other financial sources for importing vaccines, drugs, and medical supplies for COVID-19 prevention.

The 15th National Assembly convened the last sitting of its first extraordinary session in the afternoon of January 11 to pass the draft Law on amendments and supplements to several articles of the Law on Public Investment, the Law on Public-Private Partnership, the Investment Law, the Bidding Law, the Electricity Law, the Enterprise Law, the Law on Special Consumption Tax, and the Law on Enforcement of Civil Judgments.

Legislators also voted on an investment policy of the Eastern North-South Expressway project for 2021-2025; a draft Resolution on piloting a number of specialized mechanisms for the development of Can Tho city; and the Resolution of the first extraordinary session.

Source: VGP