Government urges accelerated allocation and disbursement of public investment capital in 2026

Deputy Prime Minister Nguyen Van Thang has signed Official Letter No. 401/TTg-KTTH from the Prime Minister, requesting focused leadership to accelerate the allocation and disbursement of public investment capital in 2026.

The letter says that since the beginning of 2026, the Government and the Prime Minister have provided close guidance and issued multiple directives on public investment capital allocation and disbursement. Ministries, agencies and localities have also made efforts to implement these instructions. However, according to a report by the Ministry of Finance, as of March 31, 2026, nationwide disbursement of 2026 public investment capital reached 11% of the Prime Minister’s allocated plan. This is up 1.2 percentage points compared with the same period in 2025, and higher by about 29,981.4 billion VND in absolute terms.

Despite the increase, the letter notes that 14 ministries/central agencies and 22 localities have not yet allocated all detailed plans for 2026. In addition, 28 ministries/central agencies and 18 localities have disbursement levels below the national average.

Key reasons for disbursement delays

The document highlights that disbursement delays have multiple causes, with the primary one being subjective factors. These include administrative discipline and governance not being strictly enforced everywhere, and leadership and direction in some ministries, agencies and localities not being decisive or closely followed through. The letter also points to shortcomings in project preparation, where investment project preparation is not carried out rigorously, resulting in funds being allocated to projects that are not eligible.

Other cited issues include slow compensation, site clearance and resettlement in some localities, as well as limited public communication and explanation to residents.

Prime Minister’s requirements to reach full disbursement in 2026

To achieve the goal of disbursing 100% of the planned public investment capital in 2026 and contributing to the two-digit growth target, the Prime Minister requires ministers, heads of central agencies and other central authorities, and chairmen of provincial people’s committees to focus leadership and direct implementation decisively, flexibly and effectively.

Performance accountability and project-by-project schedules

The letter calls for continued strict implementation of Party resolutions and directives from the National Assembly and the Government. It also states that disbursement of public investment capital should be treated as a key political task and a critical criterion for evaluating performance of collectives and individuals under Regulation 366-QD/TW dated August 30, 2025 of the Politburo.

It further requires assigning specific leadership and staff responsible for each project and personalizing accountability as a basis for performance evaluation. Ministries, agencies and localities are asked to develop a project-by-project disbursement schedule by week, month, quarter and year, strengthen urging, inspection and monitoring, and accelerate implementation. Difficulties within authority should be promptly addressed, and issues beyond authority should be reported to competent bodies for resolution. Staff with adequate expertise should be assigned to manage and implement projects in accordance with law.

Reallocation and handling of undisbursed or unused funds

The Prime Minister’s letter also requests the prompt allocation and disbursement of capital plans already approved by the Prime Minister but not yet detailed for specific tasks and projects. It calls for regular review and assessment of disbursement status for each project, identification of obstacles, and implementation of solutions—especially for compensation, site clearance, project acceptance and material settlement.

Projects should be classified by disbursement level (good, slow, or not disbursing). Funds should be reallocated from slow-disbursing projects to those with good disbursement or with additional funding needs. If allocated funds are not fully used, ministries and localities must promptly report the reasons to the Ministry of Finance and the Prime Minister by April 20, 2026.

Rewards, discipline and personnel replacement

The letter calls for rewarding organizations that achieve good disbursement results and tightening discipline. It also requires prompt commendation of organizations and individuals with good disbursement performance, and strict handling of investors, project management units and individuals who create obstacles or fail to take responsibility, causing delays in capital allocation and disbursement. Underperforming officials who cause inefficiency or corruption should be replaced.

Planned actions by the Ministry of Finance and guidance for national target programs

The Ministry of Finance, in coordination with other ministries, agencies and localities, will review and compile for submission to competent authorities in May 2026: (i) plans to reallocate funds from ministries/agencies/localities with no need to use funds to those with demand to accelerate project progress, and (ii) proposals to address funds already allocated for 2026 but not yet detailed.

For ministries and agencies managing national target programs, the letter requires urgent completion of legal documents and prompt issuance of guidance to address difficulties, accelerating the distribution and disbursement of funds for national target programs.

Finally, ministries and agencies are asked to continue reviewing mechanisms, policies and regulations related to public investment for amendment as required, and to report to competent authorities on matters beyond their jurisdiction.