State budget collection estimated up over 19% in 2024
As of December 27, state budget collection had already exceeded 1.99 quadrillion VND, reaching 117.4% of the target for the year. Of this, domestic revenue accounted for 115.2% of the estimate, that from crude oil hit 126.2%, and import-export revenue reached an impressive 134.2%.
Meanwhile, total state budget expenditure for 2024 is expected to be approximately 1.83 quadrillion VND, or 86.4% of the estimate. Spending on development investment is forecqast to hit 78.1% of the goal approved by the National Assembly and 77.5% of the plan set by the Prime Minister. Regular expenditures, including those for national defence, security, and social welfare, are estimated at around 94.5% of the projected figure.
The finance ministry emphasised that the balance between the central and local budgets has been maintained. Despite these expenditures, the state budget deficit is projected to be about 3.4% of GDP, 10 trillion VND lower than originally estimated.
The Ministry of Finance has managed government bond issuance efficiently to meet funding requirements, ensuring that the state's budget plan is executed and debts are repaid on schedule. In 2024, 330.4 trillion VND worth of goverment bonds were issued, achieving 82.59% of the initial target. These bonds have an average maturity of 11-12 years and an average annual coupon rate of 2.52%.
By year-end, Vietnam’s public debt stood at around 36-37% of GDP, with government debt accounting for approximately 33-34% of GDP. The government's debt repayment obligation made up 20-21% of state budget revenue, well below the ceiling level set by the National Assembly.
Vietnam's national credit rating remains strong, supported by effective economic management, robust export growth, continued foreign investment, and controlled public debt. All three major rating agencies—S&P, Fitch, and Moody's—have maintained a positive outlook on Vietnam's credit rating. S&P and Fitch rated Vietnam at BB+, while Moody's rated it Ba2, both with a stable outlook.
