Law enforcement : Budget and Expenses :: Vietnam
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Law enforcement Budget and Expenses: Viet Nam

Environmental protection cost

Water management cost:

Expenditures related to water resources management are not categorized separately in the State Budget but are listed under various Ministries such as MONRE and MARD. As described under the Institutional part, water resource management functions are spread among various Ministries, and consequently expenses are allocated accordingly.

A review have been undertaken to estimate the spending on activities in the water sector by the GoV. Due to the unclear yet division of the management and service functions in the water sector, this review has addressed only the water resources management and the management side of the service function. The relevant expenditures under items pertaining to water resources management from various ministries and departments have been assessed and aggregated. Current expenditures for water resources management consist of operating costs including salary of staff and research costs incurred by state institutions.

Fig.1 Total expenditure for Water Sector
figure1

Source: Ministry of Finance.

In addition to the small current expenditure for water resources management, the much larger investments in the water sector have been estimated. Although its proportion in the total national budget expenditure has declined, the public expenditure for water resources management has increased at an annual average of 8.9% during the period 1996- 2001. The increase in current expenditures for water resources management is illustrated in Table 22. This increase is expected to continue with the creation of the MONRE.

Table 1. Expenditures for Water Sector as a proportion of Total Public Expenditure (bill. VND)

1996

1997

1998

1999

2000

2001

A. National Budget Investment

16,989

19,482

20,514

29,697

29,624

40,236

A1. Public investment for Water Sector

5,637

6,433

6,829

6,939

7,305

8,559

A2. As % of budget investment

33.2

33.0

33.3

23.4

24.7

21.3

B. Current National Budget Expenditure

42,414

49,270

50,885

52,077

61,823

71,562

B1. Current expenditure for Water Sector

44.9

46.2

45.1

50.5

58.0

62.2

B2. As % of current budget expenditure

0.10

0.09

0.08

0.09

0.09

0.09

C. Total Budget Expenditure

70,539

78,057

81,995

84,817

104,715

126,741

C1. Total expenditure ( A1+ B1)

5681.9

6479.2

6874.1

6989.5

7363.0

8621.2

C2. As % of total budget expenditure

8.0

8.3

8.4

8.2

7.0

6.8

Source: Ministry of Finance and GSO, 2002; MPI.

The public investment in the water sector constitutes a Considerable proportion at 33% of the national budget investment from 1996 to 1998, but this declined since 1999 due to a shift in focus of the national budget towards banking systems and SOEs improvement. The main investments are made in irrigation, water supply and drainage. Out of the total spending for the period 1996-2001, it is estimated that around 64% originated from official development assistance investments, while the remaining 36% came from domestic direct investments.

Source:Viet Nam Environment Monitor 2003 – Water.
http:/www.nea.gov.vn/English/state/VEM – 2003/Index.htm

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