Phu Tho Province Accelerates Public Investment Fund Disbursement to Boost Economic Growth

Phu Tho Province in northern Vietnam is focusing on resolving project delays to accelerate the disbursement of public investment funds, a crucial element for driving socio-economic development. The province has recorded numerous positive results in the implementation and disbursement of public investment capital, thanks to the efforts of various levels, sectors, and local authorities. Significant progress is particularly evident at the grassroots level. To date, communes and wards in Phu Tho have disbursed VND 5.342 trillion out of a total planned VND 8.067 trillion, achieving 66.2%. Notably, 138 communes and wards have exceeded the provincial average disbursement rate, with 84 reaching over 60% of their allocated capital. This indicates a clear shift in the disbursement of public investment funds at the local level, where many projects directly serving public needs and infrastructure development are implemented. However, alongside these achievements, numerous challenges persist. The foremost difficulty lies in compensation and resettlement support. Inadequate land management records from previous periods have also led to conflicts of interest between residents and management agencies. Furthermore, recent increases in raw material prices and market fluctuations have complicated bidding processes, with contractors hesitant due to cost escalation risks. The scarcity of disposal sites for mud and waste from urban infrastructure projects also poses a barrier to disbursement. Across the province, the state budget investment plan for 2026 totals VND 27.63 trillion, comprising capital allocated by the Prime Minister, additional local budget allocations, and carry-over funds from 2025. As of the end of August, approximately VND 10 trillion has been disbursed, accounting for 36.1% of the total planned capital and 42.1% of the capital allocated by the Prime Minister. Phu Tho is not only accelerating disbursement but also expediting investment preparation work to lay the groundwork for early project implementation. Of the 493 new projects planned for 2026 and funded by surplus budget from 2025, 43 have completed investment policy review, and 40 have had their investment policies approved. Many projects are currently undergoing finalization of dossiers for appraisal and approval to meet implementation conditions. The results achieved demonstrate Phu Tho's gradual transformation in public investment fund disbursement by strengthening discipline and clearly defining responsibilities for each investor, project, and locality. The Phu Tho Regional Project Management Board, a key entity responsible for disbursing public investment funds, has closely followed provincial directives, proactively coordinating with localities and functional units to resolve difficulties, especially concerning compensation and land clearance. Nguyen Xuan Son, head of the board, stated that for ongoing projects, the approach is to commence construction and completion as soon as land is available, thereby creating execution volume and accelerating disbursement. For projects in the preparation phase, the province has directed the application of a "green channel" mechanism, reducing administrative procedure processing times by 50%, to expedite preparation and commencement of projects in 2026. The province aims to achieve 100% of its allocated public investment fund disbursement plan by the end of 2026. Tạ Tuan Son, Deputy Director of the Department of Finance, noted that to ensure timely disbursement, the department has consistently urged, inspected, guided, and resolved difficulties for units to accelerate the settlement of completed and commissioned projects. The department is also intensifying efforts to urge, inspect, and guide the completion of settlements, particularly for backlog projects with delayed approvals, and is proposing solutions to further enhance the efficiency of completed project settlements in the future. To meet the 2026 disbursement target, the Phu Tho Provincial People's Committee has instructed localities to regularly review each project, decisively address delayed constructions, expedite land clearance, finalize investment procedures, and increase on-site inspections to promptly resolve emerging issues. Furthermore, the province links disbursement results with the accountability of leaders, considering it a crucial criterion for evaluating task completion. With the decisive involvement of the entire political system, Phu Tho Province is striving to achieve its 2026 public investment fund disbursement target, contributing to the realization of the planned double-digit economic growth objective. Source: Nhan Dan