According to the plan, VND583.7 trillion will be borrowed for central budget to cover deficits, and over VND376 trillion for repayment of debts.

The Government will  borrow nearly VND969.8 trillion  ($38.5 billion) in 2026, according to its
latest debt plan unveiled on February 28.

The figure includes VND583.7 trillion for central budget to
cover deficits, and over VND376 trillion for repayment of debts.

The Government was quoted by the Government News as saying
that it will mobilize the funding through issuance of Government bonds,
international bonds, official development assistance and concessional loans,
and other lawful resources.

Meanwhile, local governments shall be allowed to borrow more
than VND26 trillion and use nearly 
VND4  trillion to repay their
debts this year.

The Government requests ministries, agencies and localities
to speed up disbursement of public investment capital in a bid to raise the
efficiency of State funding.

It also urges the Ministry of Finance to strictly control
budget overspending at both central and local levels, formulate a project for
issuance of international bonds and submit to competent authorities for
consideration.

Public debt is forecast to reach 36-37 per cent of GDP by
the end of 2026, while government debt will stand at 34-35 per cent of GDP and foreign
debt is expected at 32-33 per cent of GDP.

VGP-Pham Long