State cuts car fleet 30-50%

The fleet of State-owned cars serving officials will be cut by 30 to 50 percent, or about 12,000 to 20,000 cars, by the year 2020. The cut will not be applied to mountainous, remote areas and the islands.

The fleet of State-owned cars serving officials will be cut by 30 to 50 percent, or about 12,000 to 20,000 cars, by the year 2020. (Photo: vneconomy.vn)

The target was set by Prime Minister Nguyễn Xuân Phúc on Wednesday. His directive was part of efforts to considerably reduce public spending, of which buying State assets account for 20 percent of the State budget each year.

Statistics from the Ministry of Finance showed the country now has nearly 40,000 State-owned cars, and the cost to run them has reached VND13 trillion ($582 million) per year, further burdening the State budget.

Mr. Phúc tasked the Ministry of Finance to quickly submit to the Government a plan for deputy ministers and officials at the same level to receive taxi fare subsidies instead of offering them State-owned. Starting Oct. 1, six deputy ministers of finance and heads of the ministry departments have begun getting their taxi fares subsidy based on the distance of their home from their office.

He called on heads of State agencies and officials across the country to efficiently use State assets and practice thrift.

Last week, the PM set an example in practicing thrift by taking a commercial flight of the national carrier Vietnam Airlines to Bangkok to pay tribute to Thailand’s late King Bhumibol Adulyadej at Dusit Maha Prasat Palace.

The directive also asked the finance ministry to co-operate with relevant agencies in issuing additional regulations on State asset usage and management. Mr. Phúc also said ministries and State agencies must hand over old buildings to the State after moving to new buildings.

The move, came under the ministry’s newly-issued decision, has received a big welcome from the public. 

Source: VNS

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