HCM City proposes separate mechanism

Ending the working day, the prime minister accepted city proposals to adopt a separate mechanism to boost development.

This was the first time Prime Minister Nguyễn Xuân Phúc has worked with Ho Chi Minh City, which contributes a quarter to the country’s total GDP and a third of the country’s budget. The city submitted nearly 30 proposals on separate financial mechanisms and authority. The city asked for separate regulations on issues related to taxes, budget revenues, food safety, infrastructure investment, as well as human resources and its police force. According to the secretary of the city’s party committee Đinh La Thăng, this is aimed to create new energy to foster the city’s development. Speaking at session, Prime Minister Phúc expressed his support for most of the proposals and accepted the pilot implementation of the new regulations.

"Ho Chi Minh City has more than 10 million people. It can’t apply same mechanism as other localities. I agree with the proposals the city submitted. There should be pilot plan for their implementation based on existing law." - Prime Minister NGUYEN XUAN PHUC

The prime minister stressed the importance of the separate mechanism as it could make Ho Chi Minh City more competitive regionally. It also helps the city continue to be the leading locality in the country.

"The new mechanism will help the city be much more proactive. The first target will be to exceed budget revenues by 10%-15% in 2016. The Politburo will have specific decision on the proportion of the remaining budget later." - Prime Minister NGUYEN XUAN PHUC

Prime Minster Nguyễn Xuân Phúc asked the city to complete its plan to implant tge new mechanism and submit it for discussions and approval.