Minister of Finance of Vietnam Ho Duc Phoc attended an online meeting with Minister of Finance of Laos Bounchom Ubonpaseuth on the bilateral financial cooperation between the Vietnamese and Lao ministries of finance in the morning of August 13, 2021.

Minister Ho Duc Phoc spoke at the meeting and congratulated Minister Bounchom Ubonpaseuth on his appointment as Minister of Finance of Laos. Minister Ho Duc Phoc believed that, in his new position, Minister Bounchom Ubonpaseuth would lead and direct the Lao Finance sector to overcome all difficulties and challenges, particularly the impact of the Covid-19 pandemic, to successfully complete assigned tasks and contribute to the country's long-term development and prosperity.

Minister Ho Duc Phoc emphasized that the Ministry of Finance of Vietnam and the Ministry of Finance of Laos have had a long-standing historic friendship to encourage mutual development. The two sides have exchanged information on a regular basis, and have promptly consulted, closely coordinated, and effectively supported each other at international and regional forums.

Two Ministries have been implementing an effective comprehensive, continuous, and long-term cooperation program to assist the Ministry of Finance of Laos in improving capacity and strengthening the close cooperation relationship between officials and civil servants in the two countries' finance sectors. In the complicated context of the COVID-19 epidemic, Minister Ho Duc Phoc proposed that the two sides strengthen exchanges and cooperation through an online platform.

Minister Ho Duc Phoc believed that the relationship between the two Ministries would develop further, strengthening the traditional and comprehensive cooperation between two Parties, two States, two Governments, and the people of the two brotherly countries of Vietnam and Laos.

Minister Ho Duc Phoc stated at the meeting, while sharing the basic features of Vietnam's socioeconomic, financial, and budgetary situation in recent years: "Vietnam's macroeconomic situation remains stable." Economic growth was estimated to be 5.64 percent in the first six months of 2021; inflation was kept low (7 months CPI only increased by 1.64 percent, core inflation increased by 0.89 percent); and the economy's major balances were maintained. State budget revenue reached 68% of the estimate in the first seven months of the year, an increase of 15.7% over the same period in 2020; state budget expenditure reached 48% of the estimate, meeting and ensuring the progress of spending tasks for socioeconomic development, state management, and COVID-19 pandemic prevention and control.

To assist businesses and individuals in overcoming the challenges posed by the COVID-19 pandemic, the Vietnamese government has proactively proposed and issued fiscal solutions, particularly policies on the exemption, reduction, extension, and postponement of taxes, fees, charges, and land rents, in accordance with its authority. In general, with the solutions implemented since the beginning of 2021 and the solutions proposed by the Ministry of Finance, the amount of taxes, fees, charges, and land rents deferred or reduced to support businesses and individuals in 2021 is estimated to be around VND 138,000 billion.

Simultaneously, the Ministry of Finance proposed to the Government the establishment of the Covid-19 Vaccine Fund, which would receive, manage, and effectively use State funding and voluntary contributions. In addition to the government's assistance packages, many provinces and cities have used resources from their local budgets to assist disadvantaged groups, workers, and so on, ensuring that people's livelihoods are generally stable.

Speaking at the Lao Ministry of Finance, Minister Bounchom Ubonpaseuth expressed his heartfelt gratitude and appreciation for Vietnam's and the Ministry of Finance's previous support for Laos. The Lao Minister of Finance proposed that the Ministry of Finance of Vietnam provide technical assistance to the Lao Ministry of Finance in managing foreign debts, restructuring state-owned enterprises, balancing sources of foreign debt repayment, developing the domestic bond market to raise capital…

Minister Bounchom Ubonpaseuth hoped for more working sessions to exchange experiences in the state budget and fiscal management, thereby strengthening and promoting the traditional solidarity between the two peoples of Vietnam and Laos.