The Vietnamese government has announced a sweeping restructuring plan aimed at significantly reducing the size and cost of its bureaucracy, freeing up funds for crucial development projects, Bloomberg reports.
The plan, detailed in a statement on the government website, calls for merging ministries and cutting the number of their units by at least 15-20%.
The initiative, spearheaded by Communist Party chief To Lam, seeks to improve efficiency, streamline operations, and enhance the quality of state workers. Lam highlighted in an October 31 parliamentary meeting that around 70% of the national budget is currently allocated to state employee salaries and operating expenses, leaving limited resources for development initiatives.
The restructuring plan outlines several key mergers:
• Ministry of Finance and Ministry of Planning and Investment: These two ministries will be combined into a single entity.
• Ministry of Transport and Ministry of Construction: These will be merged to streamline infrastructure development.
• Ministry of Labour, Invalids and Social Affairs and Ministry of Home Affairs: A merger aimed at improving coordination in social welfare and governance.
• Ministry of Agriculture and Rural Development and Ministry of Natural Resources and Environment: This combination aims for greater synergy in resource management and agricultural sustainability.
Ministries and state agencies have been instructed to submit detailed restructuring programs to the central government by the end of this month. The government anticipates that this overhaul will position Vietnam for a new era of progress and economic advancement.
