There has been considerable discussion in the media recently about the urgent need to cut the nation’s bulging public workforce because it has become a heavy burden on the State Budget and the economy as a whole.In the long run, the bulky public workforce, combined with pervasive, inefficient investment is the main cause for Viet Nam’s budget deficit in the long run.For man years, the deficit has crossed the prudential limit of 3 per cent of gross domestic product (GDP). The Government has targeted a budget deficit of about 3.5 per cent of GDP for 2017 and 3.7 per cent for 2018, a significant reduction compared to 5.6 per cent in 2016 and over 6 per cent in 2015.However, this reduction happens not as a result of an increase in revenue or decline in spending, but mainly due to a change in calculation wherein, this year onwards, the State budget deficit will not include repayment of the principal.If we tally all interest and principal repayments, which may reach VND164.7 trillion (US$7.2 billion) this year, the budget deficit is likely be around 6 per cent of the GDP.Budget deficit happens when spending exceeds revenue. Given that there is little room for… Read full this story
- Paul Ryan is under heavy fire as he faces the first big test of his relationship with Trump
- ‘The death of tax reform’?: Trump’s tax plan is about to face a huge test in the Senate
- ‘There’s only one way to get there’: A top GOP senator opens up on his ‘Jimmy Kimmel test’ for healthcare reform
- Trump, in UN debut, urges the world body to reform
- White House to test Trump’s leadership chops
- Mexico’s scandal-plagued president is obviously having a rough time
- ‘Trumpcare’ has passed its first huge hurdles — but there’s a very real danger it collapses
- An 8th grader had to teach a math class for a month because Detroit schools were so understaffed, lawsuit alleges
- Rand Paul says he will back Senate GOP tax bill in win for Trump, Republican leaders
- 2 tech billionaires are trying to start a third political party that’s ‘pro-business, pro-planet’ — here’s how it works
State Budget reform will be a testing process have 354 words, post on vietnamnews.vn at December 5, 2017. This is cached page on Bach Thien. If you want remove this page, please contact us.