2023-05-05-世界银行-次国家公共支出和财政责任评估-越南堪萨斯城（英）_164页_1mb

Sub-National Public Expenditure and Financial Accountability (PEFA) Assessment: Can Tho City, Vietnam

I. SNG PFM System

A. Fiscal Discipline

1. Strong cash management and monthly budget reporting ensure resources are available when needed.
2. Reliable revenue collection via centralized systems and timely transfers.
3. No expenditure arrears, indicating robust execution controls.

B. Strategic Allocation

1. Medium-term planning is in place but lacks robust risk analysis and public consultation.
2. Limited transparency in public access to fiscal information hinders accountability.
3. Rules-based transfers to districts ensure fairness but timeliness is not optimal.

C. Asset and Debt Management

1. Asset registry exists for significant assets, though not comprehensive.
2. Debt strategy is developing but lacks detailed risk assessment.
3. Procurement system is improving with electronic platforms but still paper-based in parts.

D. External Scrutiny

1. Independent audit (State Audit of Vietnam) provides credible external oversight.
2. Legislative scrutiny utilizes audit reports but lacks public recommendations.

II. Key Findings

A. Strengths

• Solid budget execution controls and accurate financial reporting.
• Effective tax administration and cash flow management.
• Transparent external audit ensures fiscal accountability.

B. Weaknesses

• Inadequate revenue forecasting and interdependence on central government transfers.
• Significant expenditure variance and lack of economic classification.
• Insufficient public consultation and weak fiscal risk management.

III. Comparative Analysis: Performance of PFM Functions

IV. Limitations on National Scale

1. Top-level recommendations are not always implemented at the sub-national level.
2. Lack of timelines for PFM reform action plans reduces accountability.
3. Insufficient budget ceilings limit sub-national autonomy and responsiveness.

V. Reform Agenda for SNGs

1. Strengthen intergovernmental fiscal relations with clearer transfer mechanisms.
2. Adopt a risk-based budget framework with enhanced fiscal risk reporting.
3. Improve public access to fiscal information and encourage public participation.
4. Develop systematic performance evaluation for service delivery to enhance transparency.
5. Establish an independent internal audit function at the SNG level to complement external scrutiny.

This summary provides a high-level overview of the PEFA assessment for Can Tho City, highlighting both the strengths and weaknesses in its Public Financial Management system while offering a clear reform agenda for improvement.