VietNamNet Bridge – More than 90 per cent of NA deputies endorsed a draft resolution on State budget collection and allocation for 2013 in which 10 per cent will be set aside to raise wages for State employees.

According to the draft plan, the country expects to collect VND519 trillion (US$24 billion) for the central budget and VND296 trillion for the provincial budgets in 2013.

The central budget will disburse VND681 trillion and provincial budgets will disburse VND193 trillion for national expenditures.

The resolution also requires state bodies to set aside 10 per cent from the budget collected to increase wages for state employees, good news for the seven million people on the state payroll as well as retirees.

Concerning financial support plans for state-owned enterprises in 2013, the Viet Nam Oil and Gas Group (PVN) will receive VND 1.6 trillion from the state budget to develop projects while Electricity of Viet Nam (EVN) will be given VND238 billion to expand electricity networks to rural and remote areas.

Other major state giants will also receive support including Viet Nam Post and Telecommunication Group (VNPT) with VND25.2 billion, Viet Nam Railways (VR) with VND1.8 trillion and Viet Nam National Shipping Lines (Vinalines), VND17 billion.

Discussing the country's socio-economic plans for 2013, deputies said the Government should declare comprehensive measures and policies to promote the economic restructuring process and reform of growth models.

Deputies also agreed the Government should continue controlling inflation, ensuring macroeconomic stability and flexibility in monetary policy management.

They felt priority should be given to helping enterprises reduce surplus stock, handling stagnant debts from state invested projects, and speeding up the disbursement process of State budget capital projects.

Next year, the Government is aiming for GDP growth of 5.5 per cent, a CPI increase of 7-8 per cent and a trade deficit at roughly 8 per cent of total export turnover.

The budget deficit is targeted at below 4.8 per cent of the country's GDP, with 1.6 million jobs created and the national poverty rate falling by 2 per cent.

National Assembly deputies also spent yesterday discussing amendments and supplements to the laws on personal income tax (PIT), and the changes, if accepted, will take effect from July 1, 2013

Most deputies agreed to raise the tax threshold from VND4 million ($192) to VND9 million ($430) per month. They also suggested that the monthly threshold should increase for dependants from VND1.6 million ($75) to VND3.6 million ($170).

At present, there are 3.87 million people paying PIT, accounting for 4.4 per cent of the country's population. Under the new law, the number of people paying PIT will fall to 1 million

VietNamNet/VNS