Mr. Nguyen Ba Toan

1
Vietnam PFM Reform Strategy Implementation and
Support of Donors

• Mr. Nguyen Ba Toan
• Deputy Director General
• Ministry of Finance of Vietnam
• THIRD INTERNATIONAL ROUNDTABLE
• Managing for Development Results
• Hanoi, February 5-8.2007

2
Vietnam PFM Reform Strategy Implementation and
Support of Donors

• 1. Background
• Economic reform
• Economic growth rates
• 7.6 (1990-2000)
• 7.5 (2001-2005)
• 8.17 (2006)

3
Vietnam PFM Reform Strategy Implementation and
Support of Donors

• Achievements in PFM reform
• Contribution to macroeconomic sustainability
• Increase in national financial capacity for
  economic development
• Active changes in structure of financial resource
  distribution

4
Vietnam PFM Reform StrategyImplementation and
Support of Donors

• 2. PFM reform directions to 2010
• Overall objectives
• Adequate financial resources for economic
  development
• Enforcement of financial policies
• Sound system
• Capacity improvement

5
Vietnam PFM Reform StrategyImplementation and
Support of Donors

• Specific targets
• Saving-Investment, Saving-Consumption
• State budget revenue/GDP
• Increased allocation to education, training and
  research
• Controlled state budget deficit
• Controlled Gov. debt

6
Vietnam PFM Reform StrategyImplementation and
Support of Donors

• Specific targets (continued)
• Development of financial markets
• Restructure of SOE sector
• Management of currency notes and exchange rate

7
Vietnam PFM Reform StrategyImplementation and
Support of Donors

• 3. Major achievements of PFM reform
• state budget management
• Tax administration
• Customs administration
• Public debt management
• Financial management in SOE sector
• Etc.

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Vietnam PFM Reform StrategyImplementation and
Support of Donors

• 4. Donors support
• Donors UNDP, IFIs, bilateral governments and
  others
• Support received in almost sectors of reform
• Diversified modalities of support
• Closed co-ordination between Gov. and donors
• Obvious impact of supports

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Vietnam PFM Reform StrategyImplementation and
Support of Donors

• THANK YOU FOR YOUR ATTENTION