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| The number of State-owned cars must be reduced by a half by 2020, said Minister of Finance Đinh Tiến Dũng. – Photo vcci.com.vn |
Viet Nam News
HÀ NỘI — The Ministry of Finance (MoF) has asked agencies and enterprises under its umbrella to efficiently use State-owned cars and implement taxi fare subsidies to certain officials instead of offering them State-owned cars.
The decision by Finance Minister Đinh Tiến Dũng follows Prime Minister Nguyễn Xuân Phúc’s November 2 directive stipulating that the fleet of State-owned cars serving officials will be cut by 30 to 50 per cent, or about 12,000 to 20,000 cars, by the year 2020, excluding those in mountainous, remote areas and the islands.
The directive is part of efforts to considerably reduce public spending, of which buying State assets accounts for 20 per cent annually.
Under the directive, the MoF was tasked to submit to the Government a plan for deputy ministers and officials at the same level to receive taxi fare subsidies insteading of using State-owned cars. The ministry was also asked to work with relevant agencies in issuing additional regulations on State asset usage and management.
In September, Dũng issued a decision under which deputy ministers of finance and heads of the ministry departments will get their taxi fares subsidised based on the distance of their home from their office. The Ministry of Finance is the first ministry to apply taxi fare subsidies instead of offering State-owned cars for deputy ministers and heads of departments.
According to the MoF, the move has brought about positive results and been welcomed by the public.
To promote its effectiveness, the finance minister ordered such enterprises under the MoF as the Debt and Asset Trading Company, Hà Nội Stock Exchange and HCM City Stock Exchange to review the number of their cars and drivers with an eye toward efficiency and thrift.
Regarding wholly State-owned enterprises, like the State Capital Investment Corporation and Việt Nam Development Bank, the minister asked them to apply taxi fare subsidy schemes as of this month, instead of offering State-owned cars for top officials like general directors and board chairmen. The order also applies to Bảo Việt Holdings, a State-own company in which the MoF holds about 70-per cent stake.
All the above-mentioned enterprises have to submit a report on implementation of the decision to the MoF by the end of December. — VNS
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