Vietnam's Public Investment Reaches Half-Year Target, Regional Disparities Noted

The Ministry of Finance has submitted a report to the Prime Minister on the disbursement of public investment capital. As of early September, over 513.3 trillion VND (approximately 2.7 trillion JPY) of public investment capital had been disbursed, equivalent to 50.2% of the annual plan set by the Prime Minister. According to data compiled by September 3rd, ministries and localities disbursed a total of 513.305 trillion VND. This represents an increase of approximately 4.833 trillion VND compared to the last week of August. Statistics from the Ministry of Finance indicate that nine ministries and 17 localities have achieved disbursement rates at or above the national average. Notably, the Vietnam Bank for Social Policies has fully disbursed its allocated 4.275 trillion VND, while the Vietnam Road and Bridge Development Corporation (VEC) reached 94.6%, and the Vietnam Development Bank exceeded 78%. However, disparities in progress are evident, with some regions and ministries experiencing delayed execution. This suggests that accelerating and improving the efficiency of capital execution will be a key challenge for Vietnam, as infrastructure development is a crucial pillar of its economic growth strategy. Under Vietnam's one-party system, large-scale infrastructure investment by the government is a vital policy tool to drive economic growth. Strengthening the domestic economic foundation is considered essential for national stability, especially in light of geopolitical relations with China. The current status of public investment disbursement serves as one indicator of this progress.