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Minister of Finance Nguyen Van Thang. Photo: Pham Thang
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On May 19, at the 9th session, the Government presented to the National Assembly a report on the continuation of special mechanisms and policies in several localities after the reorganization of administrative units and the expansion of administrative boundaries in accordance with the guidelines of the Party and the State.
Authorized by the Prime Minister, Minister of Finance Nguyen Van Thang reported that, following the guidelines of the Party and the State, there will be a two-tier local government system, consisting of the provincial level (provinces and centrally-run cities) and the communal level (communes, wards, special districts under provinces and cities).
Concurrently, the operation of administrative units at the district level will cease, and the number of administrative units at the provincial level after the merger will be 34 provinces and centrally-run cities.
Thus far, ten localities, including Hanoi, Hai Phong, Thanh Hoa, Nghe An, Hue, Da Nang, Khanh Hoa, Ho Chi Minh City, Can Tho, and Buon Ma Thuot (in Dak Lak province), have been applying special mechanisms and policies in accordance with specific laws and resolutions of the National Assembly.
According to Minister Nguyen Van Thang, the merger of provincial-level administrative units and the cessation of district-level administrative units will lead to changes in geographical boundaries, management scope, legal status, population size, and socio-economic development in these localities.
“This underscores the urgent need for transitional regulations to ensure the continuity and stability of legal norms in the management, governance, and socio-economic development of these localities,” Minister of Finance emphasized.
The Government stated that the special mechanisms and policies were designed considering the position, role, and unique characteristics of each locality or urban core area. Accordingly, Hai Phong, as a port, industrial, and logistics services city; Da Nang as a tourism, services, and high-tech center; Khanh Hoa province focusing on marine economy and tourism; Buon Ma Thuot as the Central Highlands’ hub; Ho Chi Minh City as the country’s economic locomotive; and Can Tho as the driving force of the Mekong Delta region.
Therefore, the Government proposed that the National Assembly allow the continuation of special mechanisms and policies in Hai Phong, Da Nang, Khanh Hoa, Ho Chi Minh City, and Can Tho after the merger of provincial-level administrative units. These mechanisms and policies were previously granted by the National Assembly to the respective localities before the merger.
Simultaneously, it is proposed to permit the application of special mechanisms and policies in the newly formed wards and communes within Buon Ma Thuot’s territory in Dak Lak province, following the reorganization of communal-level administrative units.
The Chairman of the National Assembly’s Committee for Economic and Financial Affairs expressed agreement with the proposal for transitional mechanisms and policies. He stated that without such provisions, there would be a legal vacuum, causing difficulties in handling investment, budget, planning, and administrative management issues in the new localities.
Minh Chien – Van Duan
– 11:34 19/05/2025
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