Official Dispatch 6718/VPCP-QHQT 2021 processes for receipt, management, use of ODA and foreign concessional loans

          To:

- Ministries of Planning and Investment, Finance, Construction, Transport, Natural Resources and Environment, Agriculture and Rural Development, Labor, Invalids and Social Affairs, Justice, Foreign Affairs;

                   - The State Bank of Vietnam

          - The People's Committees of provinces and centrally-run cities

          In consideration of the recommendations made by the Ministry of Planning and Investment in its Official Letter No. 5352/BKHDT-KTDN, dated August 16, 2021, and the Ministry of Finance's Official Letter No. 9655/BTC-QLN, dated August 24, 2021, on review of the processes for receipts, signing, management and use of ODA and foreign concessional loans as requested by the State President, the Deputy Prime Minister H.E. Mr. Pham Binh Minh, has provided the following opinions:

          1. The Ministry of Planning and Investment shall take the lead and collaborate with the Ministry of Finance, other ministries, agencies and localities, in compiling program and project proposals for the whole period of 2021-2025, to be strictly reviewed and reported to the Prime Minister, for the latter's approval of the program and project proposals and submission to competent authorities for approval of the investment policies, to initiate the negotiation and signing with related foreign donors.

          2. Ministries, agencies and localities concerned must review carefully the project formulation processes to make sure that the proposed items are truly necessary and effective, as these institutions shall be held fully responsible for their respective project proposals; and shall urgently fulfill procedures for the approval of the feasibility studies and investment decisions, in compliance with applicable legislation, as the basis for the negotiation, signing, and implementation of the projects.

          3. The Ministry of Foreign Affairs and the Ministry of Justice shall review and provide guidelines on international treaty negotiation and signing processes under fast-track procedures, in particular for revision and/or extension of originally signed international treaties, so as not to compromise the rights and duties of Vietnam as the Borrower.

          4. All ministries, agencies and localities concerned must accelerate the disbursement of external financing resources for public investments and consider it as a political mandate of such ministries, agencies, and localities. The Ministry of Planning and Investment, within its vested functions and mandates, shall resolve obstacles in the allocation and authorization of financial plans as well as in fund withdrawal and disbursement.

          5. It is agreed that lead agencies and project owners are allowed to use ODA and foreign concessional loans for international consultancy services in project implementation, technology transfer training as well as for tax and fee payment, as already agreed with the donors in accordance with the financing agreements signed prior to the issuance date of the Prime Minister's Directive No. 18/CT-TTg, dated June 29, 2019, in line with the National Assembly's Resolution No. 49/2017/QH14, dated November 12, 2017, on the 2018 State budget plan (applicable to financing agreements signed in 2017 and prior years).

          Once the Decree to replace the Government’s Decree No. 56/2020/ND-CP, dated May 25, 2020, on management and use of official development assistance and concessional loans of foreign donors is promulgated and comes into force, the regulatory provisions stipulated in such Decree will be applied.

          The Government Office, hereinabove, notifies to all ministries, agencies and localities concerned for implementation./.