Topic: public debt

Current State budget and public debt are in a very positive position, creating ample room for the Government to increase borrowing and boost public investment spending.

Public debt and government debt remained well within NA limits last year.

Figure within limit set by National Assembly.

National external debt at 39-40 per cent of GDP, down from 42.7 per cent in 2021.

The Ministry of Finance’s plan on implementing the Public Debt Strategy to 2030, which has been approved by the Minister of Finance, outlines seven lists of tasks and projects, including a proposal to supplement and amend the Law on Public Debt Management in line with international practice. The 2030 public debt strategy sets a target that, by 2030, Vietnam’s public debt will not exceed 60 per cent of GDP, government debt will not exceed 50 per cent of GDP, and foreign debt will not exceed 45 per cent of GDP.

As of the end of 2021, Vietnam’s public debt totaled VND3.7 quadrillion ($158.88 billion), accounting for 43.1 per cent of GDP. According to the Ministry of Finance, the ratio of public debt to GDP is gradually declining, as is outstanding foreign loans, while domestic loans of the government are increasing rapidly. This helps ensure public debt safety and national financial security.