2005年-世界发展银行全球_Vietnam___Managing_Public_Expenditure_for_Poverty_Reduction_and_Growth_Public_Expenditure_Review_and_Integrated_Fiduciary_Assessment_Volume_2_Sectoral_Issues_126页_9mb

Summary of Vietnam Public Expenditure Review and Integrated Fiduciary Assessment (Volume II)

Core Content

This document is part of the Public Expenditure Review and Integrated Fiduciary Assessment (PER-IFA) for Vietnam, focusing on sectoral issues in education, transport, health, and agriculture and rural development. It provides an analysis of public expenditure trends, policy frameworks, and recommendations for improving the efficiency and effectiveness of spending in these sectors to support poverty reduction and economic growth.

Main Sectors and Their Expenditure Analysis

10. Education Sector Expenditure

• Introduction and Overview: Vietnam has made significant progress in education since the 2000 PER. Public education spending has increased, participation rates have improved, and infrastructure has expanded. However, challenges remain in ensuring quality, equity, and effectiveness of the service.
• Background and Policies: The education system in Vietnam includes four levels: pre-primary, primary, lower secondary, and upper secondary. Higher education and vocational training are also available. The Ministry of Education and Training (MOET) oversees the sector, with provinces and districts managing lower and upper secondary education, respectively.
• Key Targets:
  • Pre-primary: 15% participation by 2005, 18% by 2010; 85% of 5-year-olds in kindergartens by 2005, 95% by 2010.
  • Primary: 97% participation by 2005, 99% by 2010.
  • Lower secondary: 80% by 2005, 90% by 2010.
  • Upper secondary: 45% by 2005, 50% by 2010.
  • Vocational training: 10% transition from lower secondary to vocational schools by 2005, 15% by 2010.
  • High-skill vocational programs: 5% of graduates from upper secondary and vocational schools by 2005, 10% by 2010.
  • Education for children with disabilities: 50% by 2005, 70% by 2010.
• Financing: Education spending as a percentage of GDP increased from 3.5% in 2000 to 4.2% in 2002, and to 4.6% in 2004. The share of education in total public expenditure rose from 15.1% in 2000 to 16.9% in 2002.
• Economic Composition: Capital expenditure has remained around 73% of total education and training spending, with recurrent expenditure at 27%. Capital spending nearly doubled from 2,418 trillion VND in 1999 to 4,375 trillion VND in 2002. The fastest growth in capital expenditure was seen in primary education (1.5 times), followed by upper secondary (1.8 times), lower secondary (about 2 times), and pre-primary (about 2 times).
• Recurrent Expenditure: Salary and wages accounted for 71.3% of education recurrent spending, while in training, it was only 27.4%. Per pupil salary spending increased in all sub-sectors, with the most significant growth in primary education (nearly doubled from 1999 to 2002).
• Decentralized Funding: Local authorities are increasingly responsible for budgeting and managing education and training activities, with local funding accounting for the majority of the budget. Central funding for education decreased from 6.58% in 1999 to 2.07% in 2002, while local funding increased from 93.42% to 97.93%.
• Private Contributions: Parents contribute to education through tuition fees, examination fees, and school construction. These contributions have increased, with non-state education growing significantly, especially in upper secondary and pre-primary levels.

Key Recommendations

• Strengthen the quality and relevance of education.
• Improve the management and implementation of education policies.
• Increase the focus on education in ethnic and disadvantaged areas.
• Enhance the efficiency of public spending through better planning and monitoring.
• Ensure equitable access to education, particularly for disadvantaged groups.

11. Transport Sector Expenditure

• Sector Overview and Performance: Transport infrastructure development is crucial for economic growth and poverty reduction. The sector has seen increased investment, particularly in roads and public transport.
• Public Expenditure: Overall public expenditure in transport has grown, with a focus on improving rural access and transport networks. However, there are challenges in ensuring effective use of resources and maintaining infrastructure.
• Future Requirements: Additional resources are needed to meet universalization targets, especially in secondary education.
• Recommendations: Improve the efficiency and effectiveness of transport spending, enhance the integration of transport with other sectors, and strengthen the management of transport projects.

12. Health Sector Expenditure

• Achievements and Challenges: Vietnam has made progress in health outcomes, but challenges remain in ensuring equitable access, quality of care, and efficient use of resources.
• Health Spending Trends: Health expenditure as a percentage of GDP increased from 3.5% in 2000 to 4.2% in 2002. The share of health spending in total public expenditure increased from 14% to 16.9%.
• Policy Evolution: The health policy has evolved to include user charges and a greater focus on public health programs. There is a need to sharpen the paradigm and improve the implementation of health programs.
• Key Indicators: Vietnam has improved in several health indicators, including literacy rates and access to healthcare, but disparities persist between regions and income groups.
• Recommendations: Strengthen the management and implementation of health programs, increase public investment in health, and reduce the burden of out-of-pocket spending on healthcare.

13. Agriculture and Rural Development Sector Expenditure

• Sector Context: Agriculture is a vital sector for Vietnam's economy and poverty reduction. The government has prioritized investment in this area, particularly in rural development.
• Impacts and Improvements: The sector has seen significant investment, but challenges remain in ensuring effective implementation and impact on poverty reduction.
• Sub-sector Issues: Issues include the need for better management of public expenditure, improved infrastructure, and more efficient use of resources.
• Recommendations: Improve the efficiency and effectiveness of public expenditure in agriculture, enhance the role of the Ministry of Agriculture and Rural Development (MARD), and focus on rural development programs.

14. National Target Programs (NTPs) Expenditure

• Regulation and Management: NTPs are a key mechanism for poverty reduction and growth. The government has increased investment in these programs, with a focus on decentralized management and improved performance.
• Financing: NTPs are financed through a combination of state budget and other sources. There is a need to ensure transparency and accountability in the management of these programs.
• Fiduciary Risk: The HEPR-JC program and Program 135 have faced fiduciary risks, highlighting the need for better financial management and oversight.
• Impact and Effectiveness: NTPs have had a positive impact on poverty reduction, but more needs to be done to improve their effectiveness and ensure that they reach the most vulnerable populations.
• Recommendations: Strengthen the financial management of NTPs, improve the effectiveness of programs, and ensure that they are aligned with national development goals.

Conclusion

The document highlights the importance of public expenditure in supporting poverty reduction and economic growth in Vietnam. It emphasizes the need for improved management, transparency, and effectiveness in the allocation and use of resources across various sectors. The recommendations aim to ensure that public spending contributes effectively to national development objectives and improves the quality of services in education, transport, health, and agriculture.