Minister of Justice Hoàng Thanh Tùng presents a report on the explanation, incorporation of feedback and revision of the draft Resolution on the 2027 State budget estimates in Hà Nội on Monday morning. — VNA/VNS Photo Doãn Tấn

HÀ NỘI — The National Assembly on Monday morning adopted a resolution on the 2027 State budget estimate with 471 deputies voting in favour, equivalent to 94.2 per cent of the total.

Under the resolution, total State budget revenue in 2027 is projected at VNĐ3.3 quadrillion (US$130 billion), including nearly VNĐ1.8 quadrillion ($69.3 billion) in central budget revenue and almost VNĐ1.6 quadrillion ($60.9 billion) in local budget revenue.

Total expenditure is estimated at just over VNĐ4 quadrillion ($159 billion), comprising VNĐ2.4 quadrillion ($92.3 billion) from the central budget and VNĐ1.7 quadrillion ($66.8 billion) from local budgets.

The State budget deficit is projected at VNĐ739.5 trillion ($28.9 billion), equivalent to 4.5 per cent of gross domestic product, while total State budget borrowing is estimated at VNĐ1.3 quadrillion ($50 billion).

Expanding salary reform funds

The resolution allows accumulated salary reform funds from the central budget to be used for pension adjustments, social insurance benefits, monthly allowances, preferential allowances for people who rendered services to the nation and staff streamlining.

Surplus salary reform funds in local budgets may also be used to carry out centrally issued social welfare policies and streamline staff.

The Government is tasked with managing fiscal policy in coordination with monetary and other policies to support economic growth, maintain macroeconomic stability and safeguard major economic balances.

State budget revenue in 2027 is targeted to increase by around 9.1 per cent compared with the 2026 outturn.

The Government will step up efforts to combat tax evasion, transfer pricing and revenue losses, recover tax arrears and broaden the tax base, particularly in e-commerce, digital platform-based businesses and mineral resource exploitation.

Reallocating capital

The resolution calls for tighter discipline in budget allocation and expenditure management, with funding aligned with project implementation capacity and the ability to disburse and absorb capital.

For public investment, priority will be given to ongoing projects that can be completed and put into operation soon.

Capital from delayed projects will be transferred to those ready for implementation and disbursement but facing funding shortages, while investment in new projects must be carefully assessed to avoid fragmentation and unfinished work.

Under the 2027 budget estimate, 5 per cent of public investment expenditure will be saved from the outset to fund key and urgent projects, while 10 per cent of recurrent expenditure, excluding salaries and other personnel-related spending, will be set aside for social welfare policies.

Presenting the Government's report on the draft resolution, Minister of Justice Hoàng Thanh Tùng said revenue-sharing arrangements for four tax categories — environmental protection tax, corporate income tax, personal income tax and special consumption tax — had been reviewed based on the characteristics of each revenue source and the revenue-raising capacity of localities.

Central budget revenue is projected to account for 53 per cent of total State budget revenue in 2027, moving towards the target of 53-54 per cent by 2030.

Revenue from shared sources allocated to local budgets is expected to increase by 20.4 per cent year on year.

Twelve localities, mainly those facing economic difficulties, will receive a larger share of revenue than under previous regulations.

Budget expenditure estimates for all 34 localities will be no lower than their 2026 levels.

The Government also reported that public investment disbursement in the first 10 months of 2026 reached 72.1 per cent of the annual plan, equivalent to approximately VNĐ720.5 trillion ($28.1 billion), up 21 percentage points and VNĐ229.4 trillion ($9 billion) year on year.

The Government will continue to improve institutions, strengthen project preparation and planning, and ensure capital is allocated to projects ready for implementation.

It will also assess investment effectiveness throughout the project cycle and accelerate disbursement to bring completed projects into operation promptly. — VNS