The strategy says that the loan mobilization and debt payment must be within safety criteria for public debt, Government’s debt, and foreign debt and ensure the national financial secuirty.

Under the strategy, Vietnam targets to reduce budget overspendings to under 4.5% of GDP by 2015, and 4% in the 2016 - 2020 period.

Vietnam will issue Government’s bonds worth VND 255 trillion between 2011-2015 and VND 500 trillion for the 2016-2020 for development investment.

Public debt, including Government’s debt, debt guaranteed by the Government, local authorities’ debt will be equivelant to under 65% of GDP, in which foreign debt will not exceed 50% of GDP.

The strategy requires that the value of annual foreign debt payment will be equivelent to under 25% of the country’s export value of goods and services.

It  also sets set the target to slash public debt to 60% by 2030, in which Government’s debt accounts for less than 50% of GDP and foreign debt under 45% of GDP.

This strategy will be implemented in two phases, 2011-2015 and 2016-2020.

By Hai Minh