In 2024 – the decisive year for successfully implementing the Resolution of the 13^th National Party Congress and the Resolution of the 11^th Military Party Congress – the entire Army is set to carry out numerous crucial tasks. Therefore, financial departments, units, and agencies at all levels should thoroughly grasp and comprehensively implement leadership, direction, and professional measures to accomplish the assigned tasks.

In 2023, the global and regional situation witnessed complex and unpredictable developments, with the strong and far-reaching impacts of the military conflicts between Russia and Ukraine, as well as Israel and Hamas, affecting various fields on a global scale, including Vietnam. Domestically, the stability of political and socio-economic security was maintained; national defence and security were strengthened and reinforced; military and national defence tasks became increasingly deep and effective; and higher demands were placed on the military financial work. In light of the Party’s and State’s directions, guidelines, and policies, as well as the leadership, direction, and management of the Central Military Commission (CMC) and the Ministry of National Defence (MND), the Military Financial branch proactively implemented financial and budgetary tasks assigned, ensuring accuracy, sufficiency, and timeliness for both regular and ad hoc tasks, thus achieving significant results and contributing to the successful completion of military and national defence tasks. To further enhance the quality and effectiveness of the military financial work to meet the requirements of Homeland protection in the new situation, all units, agencies, and enterprises across the Army need to thoroughly grasp and effectively implement the measures as follows:

Firstly, it is necessary to strengthen the leadership, direction, and management of party committees and commanders at all levels regarding the financial work. Party committees and commanders need to thoroughly grasp and strictly implement resolutions and directives from the CMC and the MND on the financial work, particularly Resolution No. 1661-NQ/QUTW, dated 20 December 2022, on leadership of the financial work until 2030, Regulation No. 616-QC/QUTW, dated 29 September 2021, on enhancing the direct leadership and direction of party committees and commanders at all levels on the military financial work, and Directive No. 95/CT-BQP, dated 11 August 2023, on strengthening discipline and compliance with financial and budgetary laws in the Army. Based on this, it is essential to enhance the leadership and direction of party committees at all levels and emphasise the role and responsibility of commanders in managing, using, and overseeing finances and budgets; to leverage the core role of financial agencies in advisory, assurance, management, and inspection tasks; to adhere strictly to state laws, in line with the military and national defence characteristics. In addition to advising party committees and commanders on setting targets and measures for the successful implementation of Resolution No. 1661-NQ/QUTW, financial agencies should focus on making breakthroughs in key areas and critical tasks and promptly addressing weaknesses and shortcomings in the financial work within their units. Furthermore, party committees and commanders of units should prioritise the comprehensive development and improvement of financial agencies at all levels and promote the Emulation Movement entitled “Building Units With Good Financial Management” alongside the Determination-to-Win Emulation movement and the task of building comprehensively strong, “exemplary and typical” units, thus creating a synergy to carry out the financial work in 2024 effectively.

Maj. Gen. Luu Sy Quy speaks at the review of military financial work of 2023

Secondly, it is imperative to continue improving the quality of advisory work and the implementation of financial-budgetary tasks, including the allocation and distribution of state budget expenditures in accordance with regulations. Advisory work in the management and administration of the budget for 2024 should be carried out comprehensively, rigorously, and in compliance with the law; priority should be given to ensuring compliance with new policy regimes as required by the State and the MND; focus should be placed on implementing key and urgent programmes and objectives and enhancing military and national defence capabilities as approved by the CMC and the MND. Specifically, attention should be directed towards tasks such as ensuring the budget for salary reform policy per Resolution No. 27-NQ/TW; commemorating the 70^th anniversary of the Victory of Dien Bien Phu, the 80^th anniversary of the establishment of the Vietnam People’s Army, and the 35^th anniversary of the National Defence Day; implementing force reorganisation; and ensuring weapons and equipment for the Army until 2025.

The Military Financial branch continues the synchronised implementation of the Project to renovate the financial management mechanism within the Army according to the roadmap. Based on the results of the pilot implementation of budget allocation and distribution standards for the Army’s nine branches in 2024, the Military Financial Department will continue to research and refine the criteria for budget preparation and allocation to report to the MND for permission to expand the pilot implementation to the remaining sectors. Financial agencies at all levels need to proactively provide advisory support to party committees and unit commanders for budget preparation based on comprehensive coverage of all expenditure tasks; adjust budgets closely and accurately to meet requirements; ensure full and timely compliance with current regulations on policy regimes, standards, and criteria; expedite the disbursement of funds; and manage budgets and other funds rigorously, scientifically, economically, and efficiently.

Based on the state budget estimates assigned by the MND, agencies and units are responsible for distributing and allocating budget expenditures to subordinate units and functional sectors accurately in terms of both total and detailed amounts, adhering strictly to the content outlined in the budget index, policies, regimes, standards, and criteria as per regulations. During the implementation process, strict adherence to regulations and procedures regarding budget allocation, management, and utilisation is needed. Budget estimates assigned to subordinate units should comprehensively cover all expenditure of tasks, including provisions for ad hoc tasks while priority should be given to allocating funds for transitional projects, projects with directions from the MND, and those that have been prioritised in the budget.

Agencies, units, and enterprises funded by the state budget must conduct public disclosures as regulated in Circular No. 57/2019/TT-BQP dated 27 May 2019 of the MND, providing guidelines for implementing financial disclosure regulations for budget-funded units within the Army and Circular 26/2019/TT-BQP, dated 31 March 2019, of the MND regarding the financial disclosure regime for public assets within units under the MND. During the process of organising public disclosures, it is imperative to ensure democracy and transparency in terms of content, form, time, and subjects.

Thirdly, strict compliance with financial laws, principles, and discipline in estimating budgets. Throughout the management and utilisation of budgets, all agencies, units, and enterprises across the Army should rigorously adhere to legal regulations, managing and using budgets for designated purposes in a cost-effective and efficient manner, ensuring full and timely fulfilment of tasks. The Financial branch should continue to improve the quality of inter-trial of troop strengths, tightly manage salary, allowances, subsidies, and meal expenses, and ensure the regimes and standards for troops. Regarding professional funding, benefits, and leave and command fees, strict management is necessary to ensure compliance with regulations and standards. Also, adherence to procurement procedures and regulations for purchasing goods and services is essential during budget expenditure.

Before 15 October of each year, the financial agencies of units under the MND coordinate with the Military Financial Department to review and report to the MND for decisions on adjusting and promptly addressing any excess or deficient expenditure items related to regular state budget allocations for national defence. Besides, they consolidate reports for the MND’s adjustment of budgets at the State Treasury as stipulated by the State Budget Law. The commanders of units (or the account holders) bear full responsibility to the Minister of National Defence for any excesses, deficiencies, or invalidated budget allocations arising after 15 November of the fiscal year.

Fourthly, expedite the disbursement progress of capital plans for implementing investment projects. Based on the approved projects list in the newly opened plan and the assigned capital plan, agencies and units urgently complete the investment procedures for new construction projects scheduled in the yearly basic construction plan as stipulated by the Public Investment Law. The Financial branch attaches importance to directing, reviewing progress, and approving plans and detailed disbursement schedules for each project and bidding package. In addition, it regularly inspects and supervises construction progress, acceptance, and payment. It promptly resolves difficulties and obstacles to create favourable conditions for contractors and construction units to accelerate implementation progress. When a completed volume is accepted, the payment procedures are urgently carried out within four days.

Agencies and units across the Army need to thoroughly grasp and strictly implement the Government’s Decree No. 99/2021/NĐ-CP, dated 11 November 2021, and MND’s directives and instructions on the management, payment, and settlement of projects using public investment funds and national defence budget sources, on expediting the procedures for investing in new projects under the mid-term investment plan for national defence budget sources for the 2021-2025 period; and on accelerating the procedures for investing in new projects in 2023 and other new projects under the mid-term investment plan for national defence budget sources for the 201-2025 period. Also, it is imperative to vigorously and systematically implement all disbursement tasks and measures according to the specified deadlines and to expedite the completion of investment procedures for new projects each year.

Fifthly, it is crucial to strengthen the management of state capital and assets invested in enterprises. Military units and enterprises must continue to rearrange, restructure, and enhance operational efficiency. This includes restructuring capital sources to improve business operations and resolving financial arrears and overdue debts, particularly those owed to the MND. They should focus on enhancing the quality of financial inspection and supervision as well as evaluation of the operational efficiency of enterprises, timely identifying existing deficiencies and shortcomings to advise leaders and commanders on warnings and corrective measures. Enterprises under the MND or entities with advances or debts to the MND must diligently fulfil their commitments to repay them to the MND in 2024 in line with regulations and commitment.

Sixthly, the Financial branch attaches importance to implementing synchronised reforms in salary policies from 1 July 2024. Currently, the Military Financial Department - the Standing Agency of the Steering Committee for reform of salaries for the armed forces and cypher forces - is finalising the new salary tables for the armed forces and cypher forces to submit to the Ministry of Home Affairs. Moreover, it proactively drafts guidelines for the new salary regime and instructions for transitioning to the new salary scale, which will be promptly issued after the Government releases the Decree on the new salary regime. It also coordinates with relevant agencies to review legal documents that need to be abolished, amended, supplemented, replaced, or newly issued for submission to the MND for implementation. Once legal documents regarding the new salary policy are issued, financial agencies at all levels need to coordinate with personnel management agencies to thoroughly study documents and actively implement the salary changes in accordance with regulations, preventing cases of taking advantage of salary changes to combine group advancement and reclassification of personnel, thus timely detecting any deficiencies, and reporting them to the Military Financial Department for remediation.

Building upon the achievements in advisory, assurance, and management work of financial tasks in previous years, and with a firm grasp of its tasks, the Financial branch is determined and committed to effectively manage and oversee budgetary matter. This includes ensuring timely funding for tasks, progressively improving the material and spiritual well-being of troops, and contributing to the comprehensive fulfilment of tasks entrusted by the Party and the State to the Army.

Major General, Dr. LUU SY QUY, Director of the Military Financial Department