CONFERENCE ON THE SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION
(SEDBM 2020)
1 Assoc. Prof. Nguyen Trong Co President of the Academy of Finance Director
2 Dr. Hoang Duc Long Principal of University of Finance – Marketing Vice Director
3 Assoc. Prof. Truong Thi Thuy Vice President of the Academy of Finance Vice Director 4 Dr. Nguyen Van Hien Vice Principal of University of Finance – Marketing Vice Director 5 Assoc. Prof. Ngo Thanh Hoang Deputy Head of Scientific Management Department, Academy of Finance Member 6 Assoc. Prof. Tran Nguyen Ngoc Anh Thu Head of Scientific Management Department, University of Finance – Marketing Member
THE ORGANISING COMMITTEE OF INTERNATIONAL CONFERENCE SEDBM 2020
No. Full name Position Responsibility
1 Dr. Nguyen Dao Tung Vice President of the Academy of Finance Director
2 Dr. Le Trung Đao Vice Principal of University of Finance – Marketing Vice Director
3 Assoc. Prof. Nguyen Manh Thieu Head of Human Resources Department, Academy of Finance Member 4 Assoc. Prof. Ngo Thanh Hoang Deputy Head of Scientific Management Department, Academy of Finance Member 5 Assoc. Prof. Chuc Anh Tu Head of International Cooperation Department, Academy of Finance Member 6 Dr. Nguyen Thi Thuy Nga Deputy Head of Scientific Management Department, Academy of Finance Member 7 Dr. Phan Thi Hang Nga Deputy Head of Scientific Management Department, University of Finance –
Marketing Member
PROCEEDINGS THE THIRD INTERNATIONAL CONFERENCE ON THE
SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION
(SEDBM 2020)
FINANCIAL PUBLISHING HOUSE
1 Assoc. Prof. Truong Thi Thuy Vice President of the Academy of Finance Director 2 Assoc. Prof. Nguyen Vu Viet Vice President of the Academy of Finance Vice Director 3 Dr. Nguyen Van Hien Vice Principal of University of Finance – Marketing Vice Director 4 Dr. Dang Thi Ngoc Lan Vice Principal of University of Finance – Marketing Vice Director
5 Assoc. Prof. Ngo Thanh Hoang Academy of Finance Standing member
6 Prof. Sheridan Titman University of Texas at Austin Member
7 Assoc. Prof. Simone Domenico scagnelli School of business and law, commerce discipline, edith cowan univesity, Australia Member 8 Dr. Jaime Yong Course coordinator for finance, School of Business and Law, Edith
Cowan University, Australia Member
9 Prof. Long Chu Australian National University Member
10 Dr. Luong Anh Hoa University of Otago, New Zealand Member
11 Dr. Nguyen Thi Thuy Nga Academy of Finance Member
12 Dr. Phan Thi Hang Nga University of Finance – Marketing Member
13 Assoc. Prof. Nguyen Xuan Thach Academy of Finance Member
14 Assoc. Prof. Nguyen Le Cuong Academy of Finance Member
15 Assoc. Prof. Pham Ngoc Dung Academy of Finance Member
16 Assoc. Prof. Le Xuan Truong Academy of Finance Member
17 Assoc. Prof. Mai Ngoc Anh Academy of Finance Member
18 Assoc. Prof. Dao Thi Minh Thanh Academy of Finance Member
19 Assoc. Prof. Vu Van Ninh Academy of Finance Member
20 Assoc. Prof. Nguyen Van Dan Academy of Finance Member
21 Assoc. Prof. Vu Duy Vinh Academy of Finance Member
22 Assoc. Prof. Doan Minh Phung Academy of Finance Member
23 Dr. Luu Huu Đuc Academy of Finance Member
24 Dr. Nguyen Hong Chinh Academy of Finance Member
25 MSc. Nguyen Thi Hong Van Academy of Finance Member
26 Assoc. Prof. Pham Thanh Hoa Academy of Finance Member
27 MSc. Nguyen Thi Phuong Tuyen Academy of Finance Member
28 MSc. Pham Minh Ngoc Ha Academy of Finance Member
29 Assoc. Prof. Nguyen Manh Thieu Academy of Finance Member
30 MSc. Nguyen Ba Linh Academy of Finance Member
31 Dr. Nguyen Anh Quang Academy of Finance Member
32 MSc. Nguyen Thuy Trang Academy of Finance Member
33 MSc. Phung Thu Ha Academy of Finance Member
34 Dr. Dao Ngoc Ha Academy of Finance Member
35 MSc. Pham Thi Lan Phuong Academy of Finance Member
36 Assoc. Prof. Chuc Anh Tu Academy of Finance Member
37 MSc. Nguyen Thi Thanh Huyen Academy of Finance Member
38 Assoc. Prof. Ho Thuy Tien University of Finance – Marketing Member
39 Assoc. Prof. Nguyen Thi My Linh University of Finance – Marketing Member
40 Assoc. Prof. Tran Loc Hung University of Finance – Marketing Member
41 Dr. Nguyen Tuan Duy University of Finance – Marketing Member
42 Dr. Nguyen Thanh Nha University of Finance – Marketing Member
43 Dr. Nguyen Xuan Hiep University of Finance – Marketing Member
44 Dr. Nguyen Xuan Truong University of Finance – Marketing Member
45 Dr. Tran Hong Van University of Finance – Marketing Member
46 Dr. Huynh Thi Thu Suong University of Finance – Marketing Member
47 Dr. Nguyen Van Thuan University of Finance – Marketing Member
48 Dr. Doan Lieng Diem University of Finance – Marketing Member
49 Dr. Nguyen Ngoc Tran Chau University of Finance – Marketing Member
50 MSc. Vu Thi Thanh Huong University of Finance – Marketing Member
51 Dr. Huynh The Nguyen University of Finance – Marketing Member
v Dear Friends and Colleagues,
We are pleased to welcome you to the 3nd International Conference: “Sustainable Economic Development and Business Management in The Context of Globalisation” (SEDBM 2020).
The Fourth Industrial Revolution Industrial Revolution 4.0 and the creative innovation help bring about disruptive technologies such as artificial intelligence (AI), Internet of Things (IoT), etc at a quicker pace and a larger scale of development together with ecological challenges such as climate change, epidemics and other menaces to the human social and economic development, etc. Even though globalization process nourishes international markets with high degree of growth and development, it also creates increasing inequity. The impacts from globalization, international integration, climate change and epidemics are making great changes to the world.
The 3nd International Conference SEDBM 2020 will strive to offer not only plenty of networking opportunities, to interact with the leading researchers from both academia and universities, but also an environment to engage in stimulating discussions about research topics and practices. We are especially honoured to have:
- John Bruce Wells is Deloitte’s Chief of Party for the US Agency for International Development (USAID) Vietnam Low Emission Energy Program (V-LEEP) that helps assess and implement policies that accelerate deployment of solutions that promote clean energy in Vietnam.
- Assoc. Prof., Dr. Tran Dinh Thien: Former President of Vietnam Institute of Economics (VIE), Member of Prime Ministerial Economic Advisory Committee.
We wish you all an intellectually stimulating and productive conference!
On behalf of the Organizing Committee, Nguyen Trong Co
PRESIDENT OF ACADEMY OF FINANCE
Assoc. Prof. Nguyen Trong Co is the President of Academy of Finance. He has been working for the Academy since his graduation and in different positions such as lecturer, Head of Financial Analysis Department, Deputy Head of Human Resources Department before becoming Vice President of the Academy. He was nominated as the President of Academy of Finance in 2014 and has been in that position to present. He is the Editor-in-Chief of the Journal of Finance and Accounting Research, Vice President of the Scientific Board of Finance Research and member of the Scientific Board of Banking Research. He was awarded the honor membership of FCPA Australia. Assoc.
Prof. Nguyen Trong Co is the author/co-author of more than 21 valuable textbooks and reference books such as “Financial Analysis”, Finance Publishing House, 2017; “Auditing Management and the use of Mineral Resources for Sustainable Development in Vietnam”, Finance Publishing House, 2016, etc. He has completed and published more than 20 research projects covering a wide range of research topics such as corporate finance, public finance and technological market, etc.
He has also published more than 70 articles in both local and international journals.
RECTOR OF UNIVERSITY OF FINANCE-MARKETING
Dr. Hoang Duc Long is the Rector of the University of Finance-Marketing. He previously worked at the Academy of Finance before transferring to the Ministry of Finance. While working there, he took the post of the head of the Training Office (under the Personnel and Organization Department), and was promoted to the Deputy Director of Personnel and Organization Department cum the chairman of the Board of Trustees, formally known as the Board of Directors, of the University of Finance-Marketing. Then, he was assigned to run this university in January 2016.
Seven months later, he was officially appointed as the rector of the university and has been in this position up to now. During his term here, he was the co-author of the two ministry-level research projects which have been evaluated and implemented. Before that, he had completed numerous ministry-level research projects during his service at the Ministry of Finance and advised the leaders of this ministry on issuing many important legal documents of the Vietnamese finance sector. To recognize his contribution and merits, he was awarded the third class Labor Order in 2011 by the State of Vietnam.
INTERNATIONAL DEVELOPMENT (USAID) VIETNAM LOW EMISSION ENERGY PROGRAM (V-LEEP) THAT HELPS ASSESS AND IMPLEMENT POLICIES THAT ACCELERATE
DEPLOYMENT OF SOLUTIONS THAT PROMOTE CLEAN ENERGY IN VIETNAM
Prior to serving USAID on several programs in Asia, he was a Partner with ERM Indonesia, the President of Citizens International, and the Director of Private Sector Initiatives for Chemonics.
In these roles he helped global companies such as BP, Exxon Mobil and Vale meet their corporate sustainability commitments in developing country operations. He was also founder and President of The Bruce Company, a two-time Inc. 500 firm that helped launch premier partnerships such as Energy Star; and helped launch the U.S. Green Building Council which operates the LEED building certification program.
FORMER PRESIDENT OF VIETNAM INSTITUTE OF ECONOMICS (VIE), MEMBER OF PRIME MINISTERIAL ECONOMIC ADVISORY COMMITTEE
Major practical consultances and researches: Participating in researches and research programs (both national level or ministerial level) on different aspects of socio-economic development of Vietnam. Secretary General of two National Research Programs on Industrialization and Modernization Strategy. Head of the three National Researches on Industrialization and Modernization. Participating in many researches that provide inputs for the preparation of government and comunist party’s documents
INTRODUCTION TO INTERNATIONAL CONFERENCE ON
SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALIZATION (SEDBM 2020) 1. FINANCIAL AUTONOMY AT HIGH SCHOOLS IN HO CHI MINH CITY
Nguyen Trong Co ... 3 2. MEASURING PERMANENT ESTABLISHMENT CONCEPT IN DOUBLE TAXATION AGREEMENTS OF VIETNAM
Nguyen Thuy Trang ... 12 3. THE RELATIONSHIP BETWEEN SUSTAINABILITY ACCOUNTING REPORT AND
FINANCIAL PERFORMANCE OF LISTED COMPANIES ON THE HANOI STOCK EXCHANGE (HNX) - VIETNAM
Duong Hoang Ngoc Khue, Nguyen Thi Ngoc Oanh ... 24 4. ANALYSIS OF FACTORS AFFECTING FINANCIAL RISK OF PRIVATE ENTERPRISES IN FOOD AND BEVERAGE INDUSTRY IN VIETNAM’
STOCK MARKET
Nguyen Thi Ha, Phan Thuy Duong, Dang Thu Hang ... 31 5. THE IMPACT OF CAPITAL STRUCTURE ON THE COST OF CAPITAL: EVIDENCE FROM VIET NAM PETROLEUM TRADING FIRMS
Nguyen Tien Đuc, Tran Ngoc Anh ... 40 6. SOLUTIONS FOR APPLYING INTERNATIONAL FINANCIAL REPORTING STANDARDS (IFRS) IN VIETNAM
Nguyen Dinh Đo ... 46 7. GREEN BANKING TOWARD SUSTAINABLE DEVELOPMENT: VIETNAM PERSPECTIVES
Nguyen Thuy Linh, Le Thi Hong Hanh ... 54 8. CAPITAL INVESTMENT POLICY TO PROMOTE SUBTAINABLE DEVELOPMENT OF LIFE INSURANCE MARKET IN VIETNAM
Hoang Manh Cu ... 63 9. THE DETERMINATION OF OPTIMAL CAPITAL STRUCTURE FOR AN ENTERPRISE IN VIETNAM
Hoang Trung Đuc, Phạm Thi Lan Anh ... 70 10. THE FINANCIAL RISKS CONTROL EXPERIENCE OF CORPORATE GROUPS IN THE WORLD AND THE LESSONS FOR VIETNAM
Đam Thi Thanh Huyen ... 76 11. CONSTRUCTING AND COMPLETING THE LEGAL SYSTEM FOR THE
DEVELOPMENT OF E-COMMERCE IN VIETNAM IN THE GLOBALIZATION CONTEXT
Le Thi Thanh, Tran Thi Thu Huong ... 88 12. RACE TO THE BOTTOM ON CORPORATE TAX AND RECOMMENDATIONS TO VIETNAM
Phan Le Nga ... 97 13. INTEGRATION COMPETENCE OF VIETNAMESE ACCOUNTING, AUDITING HUMAN RESOURCES IN THE AEC:
CURRENT SITUATIONS AND RECOMMENDATIONS
Le Vu Thanh Tam ...106 14. THE IDENTIFICATION AND CLASSIFICATION OF ENVIRONMENTAL COSTS IN ACCOUNTING
Tran Hai Long, Le Thi Yen Oanh ...115
15. THE NECESSITY TO APPLY ENVIRONMENTAL ACCOUNTING IN VIETNAMESE ACCOUNTING SYSTEM
Ngo Thi Thu Hong, Nguyen Thi Hong Hanh ...121 16. INFLUENCE OF EXECUTIVE SUPERVISION, ASSES RISKS AND CONTROL ACTIVITIES ON INTERNAL CONTROL OF THE VIETNAMESE
COMMERCIAL BANKS
Tran Quoc Thinh, Nguyen Khanh Tuan, Luu Chi Danh ...128 17. KEY ELEMENTS OF TAX COMPETITIVENESS OF VIET NAM’S TAX SYSTEM IN
COMPARISON WITH OTHER COUNTRIES IN THE WORLD
Le Xuan Truong,Phan Le Nga ...137 18. SUSTAINABLE GROWTH RATE: EVIDENCE FROM PHARMA AND TRANSPORTATION CONSTRUCTION ENTERPRISES IN VIETNAM
Vu Van Ninh, Nguyen Thi Thuy Dung ...152 19. AUDITOR REPORT IN THE CURRENT EVOLVING DUE TO COVID 19 ISSUES OF AUDITORS INTERERSTING
Pham Tien Hung, Nguyen Thi Thanh Phuong, Tran Vu Hoang Son ...161 20. PROFESSIONAL ETHICAL STANDARDS DIRECTIVE AUDITOR’S MIND AND ACTION IN FINANCIAL STATEMENT AUDIT DUE TO COVID 19
Pham Tien Hung ...176 21. CORPORATE INCOME TAX INCENTIVE POLICY IN VIETNAM:
IMPROVEMENT FOR SUSTAINABLE ECONOMIC DEVELOPMENT
Le Manh Thang ...186 22. PROBABILISTIC PREDICTION OF BANKRUPTCY OF LISTED STEEL ENTERPRISES IN VIETNAM
Nguyen Huu Tan ...196 23. PUBLIC VS. PRIVATE BLOCKCHAINS: THE RACE TO OWN THE FUTURE OF PAYMENTS
Nguyen Thi Thuong Huyen, Nguyen Tuan Minh...207 24. IMPACT OF LABOR ON THE ECONOMIC GROWTH OF VIETNAM: HISTORY, SITUATION AND PREDICTION
Nguyen Sy Thanh ...219 25. REQUIREMENTS FOR BUILDING COST MANAGEMENT ACCOUNTING MODEL IN PUBLIC HIGHER EDUCATION INSTITUTIONS
Ngo Thi Thuy Quyen, Trinh Thi Thu Phuong ...228 26. PROMOTING ADMINISTRATIVE PROCEDURES REFORM IN CUSTOMS
TO HELP BUSINESSES IN VIETNAM OVERCOME DIFFICULTIES
Nguyen Thi Minh Hoa, Nguyen Thi Hong Hanh ...232 27. CENTRAL BANKS’ MONETARY POLICY - QUANTITATIVE EASING: APPLICATION FOR VIETNAM
Doan Huong Quynh, Nguyen Anh Quang ...240 28. CORPORATE INCOME TAX INCENTIVES FOR SMALL AND MEDIUM ENTERPRISES IN VIET NAM
Pham Quynh Mai, Luu Huyen Trang ...248 29. RESEARCH FACTORS AFFECTING PROFIT ADJUSTMENT OF THE LISTED
FIRMS IN THE REAL ESTATE AND CONSTRUCTION INDUSTRIES ON VIETNAM STOCK MARKET
Bui Thi Thu Huong, Nguyen Dieu Linh, Hoang Hong Tuan ...255 30. INTERNATIONAL EXPERIENCES ON LOCAL BUDGET EXPENDITURE EFFICIENCY
Hoang Thi Thanh Lieu, Dao Minh Tam, Pham Thi Phuc ...274 31. FINANCIAL MANAGEMENT IN MULTINATIONAL COMPANIES – IMPLICATIONS FOR VIETNAMESE ENTERPRISES
Nguyen Phi Hung, Duong Thi Quynh Lien, Tran Doan Quan ...279 32. PUBLIC INVESTMENT AND THE ROLE OF PUBLIC INVESTMENT FOR VIETNAM ECONOMIC DEVELOPMENT PROMOTION
Pham Ngoc Dung, Nguyen Thanh Giang ...285 33. FACTOR AFFECTING THE LEVEL OF ENVIRONMENTAL ACCOUNTING INFORMATION DISCLOSURE IN VIETNAM MINING INDUSTRY
Nguyen La Soa, Ngo Van Hau ...290
34. APPLYING DEA MODEL TO EVALUATE AUTONOMY MECHANISMS IN HO CHI MINH CITY ‘S HOSPITALS
Ngo Thanh Hoang, Nguyen Dinh Hoan, Mai Thi Bich Ngoc, Nguyen Thanh Binh, Pham Van Truong, Phung Thanh Loan ...302 35. SOME ISSUES POSED WITH GREEN ACCOUNTING IN VIETNAM IN THE CONTEXT OF GLOBALIZATION
Nguyen Ba Minh ...307 36. EFFICIENTCY OF AUDIT COMMITTEE AFFECTING ON EARNINGS MANAGEMENT AT LISTED COMPANIES IN VIET NAM
Nhat Phuong Diem ...318 37. ANALYSIS FACTORS AFFECTING GOLD PRICE IN VIETNAM- USING THE VECTOR AUTOREGRESSIVE MODEL (VAR)
Tran Nguyen Ngoc Anh Thu ...330 38. FACTORS AFFECTS THE INDIVIDUAL CUSTOMER’S DECISION TO DEPOSIT
AT THE BANK FOR INVESTMENT AND DEVELOPMENT OF VIETNAM (BIDV), TAN BINH BRANCH
Pham Thi Tuyet Nhung, Vu Thanh Tung ...345 39. OVERVIEW OF METHODOLOGY FOR VERIFYING AND DECISION IN AUDITING
Phan Thi Bich Ngoc, Vo Thi Thu Ha ...358 40. ANALYSIS OF FACTORS AFFECTING NON-INTEREST INCOME OF COMMERCIAL BANK: AN EMPIRICAL CASE IN VIETNAM
Huong T. Phan,MScF. Chau B.X. Nguyen ...368 41. APPLICATION SCOPE OF STRATEGIC MANAGEMENT ACCOUNTING IN VIETNAMESE ENTERPRISES
Tran Hong Van, Tran Thi Phuong Lan, Nguyen Minh Hang ...378 42. INTERNATIONAL EXPERIENCES ON FINANCIAL POLICIES FOR DEVELOPING THE INDIVIDUAL ECONOMIC SECTOR
AND EXPERIENCE LEARNED FOR VIETNAM
Thi Thu Hong Pham, Thi Hoa Nguyen ...388 43. EXAMINE THE EFFECT OF INTERNAL CONTROL ON VIETNAMESE BANKS’
PERFORMANCE: CASE AT STATE-OWNED COMMERCIAL BANKS
Le Van Tuan, Nguyen Kim Quoc Trung ...402 44. MODEL OF JOB TRESS ON TURNOVER INTENTION, A CRITICAL STUDY AT LOGISTICS INDUSTRY, EVIDENCE FROM VIETNAM
Huynh Thi Thu Suong ...410 45. FINTECH CROWD FUNDING DEVELOPMENT IN VIETNAM
Nga Phan Thi Hang, Thanh Tran Thi Phuong ...423 46. SOLUTIONS FOR IMPLEMENTING FINANCIAL AUTONOMY MECHANISM
IN HO CHI MINH CITY, CULTURE AND SPORTS PUBLIC NON-BUSINESS UNITS IN HO CHI MINH CITY
Nguyen Đao Tung, Nguyen Manh Thieu, Pham Thanh Ha, Luu Huu Đuc ...434 47. SOME ISSUES TO CONSIDER WHEN IMPLEMENTING VIETNAM’S IMPORT AND EXPORT TAX COMMITMENTS IN FTAS HANOI, VIETNAM
Tran Thi Thu Huyen, Doan Huong Quynh, Tran Tien Dat ...449 48. MACROECONOMIC ENVIRONMENT AND FDI: EVIDENCE FROM DEVELOPING COUNTRIES IN ASIAN
Nguyen Thi Kim Chi, Le Trung Dao ...455 49. MUTUAL INFLUENCE BETWEEN LOCALITIES IN THE RED RIVER DELTA REGION IN ATTRACTING FOREIGN DIRECT INVESTMENT (FDI)
Pham Van Hung, Trieu Van Huan ...466 50. GREEN ECONOMY WITH THE CHALLENGE AND OPPORTUNITY FOR THE SUBSTANABLE DEVELOPMENT IN VIETNAM
Truong Thi Thuy, Hoang Trung Đuc ...478 51. LEAN MANAGEMENT - NEW DIRECTION FOR VIETNAMESE PRIVATE ENTERPRISES
Dao Thi Huong ...484 52. THE IMPACT OF THE 4.0 NETWORK ON VIETNAM’S SUSTAINABLE ECONOMIC DEVELOPMENT
Dang Thai Binh ...499
53. BUILDING HIGH QUALITY HUMAN RESOURCES FOR SUSTAINABLE DEVELOPMENT IN OUR COUNTRY AT PRESENT
Hoang Thi Hong Hanh, Nguyen Chi Thien, Nguyen Hong Son ...507 54. THE DEVELOPMENT OF ECO-INDUSTRIAL PARKS IN THE WORLD AND THE IMPLICATIONS FOR INDUSTRIAL PARKS IN VIETNAM
Nguyen Hong Chinh, Nguyen Thi Thuy Nga, Nguyen Thi Thuy Trang ...516 55. SOLUTION ORIENTED FDI WITH THE GOAL OF SUSTAINABLE ECONOMIC DEVELOPMENT OF VIETNAM
Le Thi Hong Nhung, Nguyen Quoc Viet ...524 56. SOLUTIONS TO PROMOTE POSITIVE EFFECTS OF FOREIGN DEBT ON SUSTAINABLE ECONOMIC GROWTH
Luong Quang Hien, Bui Xuan Hoa, M.Econ Nguyen The Hung ...533 57. EFFECTIVE FĐI ATTRACTION OF CHINA FOR SUSTAINABLE ECONOMIC DEVELOPMENT
Nguyen Tien Thuan ...540 58. VIETNAM’S PARTICIPATION IN GLOBAL APPAREL VALUE CHAIN IN THE CONTEXT OF 4.0 INDUSTRIAL REVOLUTION
Hoang Thi Phuong Lan ...549 59. SUSTAINABLE DEVELOPMENT OF SMALL AND MEDIUM ENTERPRISES IN VIETNAM IN THECONTEXT OF GLOBALIZATION
Ha Quy Tinh, Ngo Thi Huong Thao ...564 60. EXAMINE THE EFFECT OF INTERNAL CONTROL ON VIETNAMESE BANKS’
PERFORMANCE: CASE AT STATE-OWNED COMMERCIAL BANKS
Nguyen Thanh Giang, Nguyen Thu Huong ...571 61. MODELLING ECONOMIC GROWTH, CARBON EMISSIONS, AND FOSSIL FUEL CONSUMPTION IN VIETNAM
Vu Quoc Dung, Nguyen Thi Phuong Tuyen ...579 62. EMPIRICAL ANALYSIS OF ECONOMIC GROWTH AND UNEMPLOYMENT IN VIETNAM
Nguyen Thi Viet Nga ...593 63. MODELS OF DEVELOPING BORDER-GATE ECONOMIC ZONES TOWARDS
GREEN ECONOMY GROWTH IN NORTHEASTERN BORDER AREAS OF VIETNAM
Dao Duy Minh, Phan Pham Chi Mai, Nguyen The Anh, Vu Van Anh ...599 64. ANALYSIS OF TFP AND ITS INFLUENCING FACTORS: A SEMI-PARAMETRIC APPROACH
Nguyen Thi Thai Hung ...608 65. THE FOURTH INDUSTRIAL REVOLUTION AND CHALLENGES FOR VIETNAMESE HUMAN RESOURCES
Vu Thi Vinh, Hoang Lan Huong, Hoang Phuong Anh ...615 66. EFFECT OF ENERGY CONSUMPTION & ECONOMIC GROWTH ON ENVIRONMENTAL DEGRADATION IN VIETNAM,
CAMBODIA AND THAILAND
Thanouxay SIVANNALIT ...620 67. INTEGRATED REPORTING - NECESSITY OF VIETNAMESE ENTERPRISES IN
THE CONTEXT OF INTERNATIONAL ECONOMIC INTEGRATION
Tran Quoc Thinh, Nguyen Khanh Tuan, Luu Chi Danh ...628 68. GREEN GROWTH IN THE WORLD AND THE CURRENT PRACTICE IN VIET NAM
Dang Thi Thu Giang, Tran Thị Thanh Huyen, Pham Quynh Trang ...632 69. AUSTAINABLE DEVELOPMENT IN THE CONTEXT OF GLOBALIZATION: OPPORTUNITIES AND CHALLENGES FOR REAL
ESTATE BUSINESSES IN VIETNAM
Nguyen Ho Phi Ha, Vu Thi Phuong ...643 70. SOLUTIONS TO IMPROVE QUALITY AND EFFICIENCY OF RURAL ADMINISTRATIVE SERVICES IN BAC NINH PROVINCE
Tran Tuan Anh, Do Thi Thu Hang ...651 71. CURRENT SITUATION OF PUBLIC SERVICES PROVIDING IN PRODUCTION AND CONSUMPTION OF POTATO IN BAC NINH PROVINCE
Do Thi Thu Hang; Nguyen Phi Hung ...657
72. ESTIMATION OF APARTMENT VALUE USING THE HEDONIC PRICING METHOD: THE CASE IN DISTRICT 7, HO CHI MINH CITY, VIETNAM Vo Thi Hoang Vi ...664 73. FACTORS AFFECTING CONSUMERS’ DECISION TO USE E-WALLETS IN HO CHI MINH CITY
Ao Thu Hoai, Lam Anh Hong, Pham Thi Thu Hang, Do Thi Yen Nhi ...672 74. DEVELOPING HIGH-TECH AGRICULTURE IN CENTRAL HIGHLAND
IN THE CONTEXT OF GLOBALIZATION AND INTERNATIONAL ECONOMIC INTEGRATION
Hoang Thi Xuan ...689 75. THE RELATIONSHIP BETWEEN TRADE OPENNESS AND ECONOMIC GROWTH: A STUDY ON ASEAN-5
My-Linh Thi Nguyen, Toan Ngoc Bui ...702 76. THE ASYMMETRIC EFFECT OF GASOLINE PRICE ON CONSUMER PRICES: AN EVIDENCE FROM THE VIETNAMESE MARKET
Nguyen Quyet ...709 77. THE RELATION BETWEEN CEO TENURE AND EARNINGS MANAGEMENT
Bui Van Duong, Vo Thi Truc Dao ...721 78. SUSTAINABLE DEVELOPMENT REPORT AND CURRENT TRENDS
Vo Thi Truc Dao, Nguyen Thi Kieu Oanh ...729 79. IDENTIFY INTEREST AND ATTITUDE OF ACADEMY STUDENTS BASED ON CONFESSION POSTS ANALYSIS
Hoang Huu Son, Do Thi Thu Thao ...739 80. CLIMATE CHANGE AND SALT CONTAMINATION IN THE MEKONG DELTA
Dao Thi Minh Thanh, Pham Dao Thuy Linh ...747 81. RESEARCH OF PERSONALISATION IN ONLINE SHOPPING: LITERATURE REVIEW AND RESEARCH MODEL
Nguyen Phuong Hoa, Nguyen Thi Hong Van, Nguyen Dieu Thai ...753 82. FREE TRADE AGREEMENT – DRIVING FORCES AND CHALLENGES FOR VIETNAM’S ECONOMIC GROWTH AND SUSTAINABLE
DEVELOPMENT
Nguyen Thi Thanh Huyen, Doan Huong Quynh , Pham Thi Van Anh ...761
1
SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALIZATION (SEDBM 2020)
G
lobalization is not a new phenomenon, it has appeared as a wave which attracts and connects resources of different countries since the end of the nineteenth century. However, the emergence of knowledge economy results in the new features of present globalization process.The knowledge economy has the ability to engage all nations, forcing us to adapt by changing our development methods and pathways.
In the 21st century, the movement of the contemporary world with a series of political, economic and social changes happening at the same time is expected to impact on the globalization process: The balance of global powers switching from mono-polar to multi-polar; the Fourth Industrial Revolution associated with the disruptive technologies such as artificial intelligence (AI), Internet of Things (IoT),... with an unprecedented speed and scale in history; ecological challenges, including climate change and epidemics, toward the socio-economic development of all countries, etc.
Globalization has brought the growth and development at the international level, but it has also created the growing intensity of inequality.
The pressure and the irresistible power of the globalization associated with the knowledge economy have profoundly affected every country and every sector. It forces countries to actively integrate into the world economy if they do not want to be left behind in the development process.
Globalization has not only created various opportunities for emerging countries, but has also posed an unprecedented series of challenges for them. Global economic growth has made great achievements but accompanied by the shortage of natural resources, increasing environmental pollution, climate change, epidemics, population aging, poverty, inequality, unemployment and underemployment which are the most concerned global issues of the 21st century. Therefore, sustainable development is deemed to be a comprehensive solution for the current context.
Although Vietnam has developed spectacularly over the last three decades, the transition to a modern and prosperous economy has only just begun. With per capital income being much less than the global average income, Vietnam is trying to maintain a trajectory of rapid growth and following other successful East Asian economies who have entered the ranks of middle-income countries for the last half decade.
However, in a changing world, the economy of Vietnam is facing great opportunities and challenges. Therefore, taking advantage of opportunities and overcoming challenges to find a new
growth model targeted at improving the quality of growth in the period 2021 – 2030 and vision to 2045 is considered an urgent demand. Vietnam needs to shift its growth model from width to depth in the development process. In which, it is essential to alter the ratios of resources contribut- ing to growth, give priority to the motivation of science- technology and innovation to take a leap in some fields, give priority to the private sector, support and foster innovative start-ups, promote digital economy in a number of sectors, improve market institution, enhance governance capacity of the state and enterprises, promote green and holistic growth, develop regional economy and build regional linkages to create poles of growth and sustainable development ...
Following the success of the first conference (SEDBM-1), which focused on clarifying the issues of economic development and sustainable business in the context of globalization to recognize opportunities and challenges, the second conference (SEDBM-2) focused on discussing sustainable economic and business development under globalization to define the major problems as well as to propose appropriate responses. In 2020, the Academy of Finance and the University of Finance and Marketing co-organize the third international conference (SEDBM-3) with the aim to obtain profound considerations, analyses, assessments, forecasts, policies and measures on the contemporary issues regarding globalization, economics, nations, regions and the world the sustainable economic and business in the new context.
The Organizing Committee has received more than 100 articles and selected, edited 82 articles to be published in the Proceedings which mostly focus on analyzing and relating the issues of economics, finance, governance, human resources, accounting and auditing to sustainable development. The conference attracts participation of researchers and economic specialists from universities and institutes as well as the local and international organizations. The research papers show the diversified approaches to the contents of economic development and sustainable business in the context of globalization.
SEDBM 2020 focuses on discussion, analysis and clarification of economic development and sustainable business in the context of globalization. Therefore, the Organizing Committee expects the participants to focus and clarify the following issues: (i) Accounting, auditing, finance, management, international finance… and sustainable business; (ii) Socio-economic development, digital economy, knowledge economy, changing growth model and substainable business.
The Organizing Committee would like to express gratitude towards scientists and researchers for your enthusiastic participation and contribution to the success of the conference. With the view that science and technology are the motivation for the development of countries in general and universities in particular, we recognize that in the context of globalization, there are multiple unpredictable changes which are not only related to every country but also to the whole world, therefore, the analyses, assessments, forecasts and solutions ... introduced in this conference are extremly valuable for the global, regional or national prosperity.
We wish you good health and success and we strongly believe that this conference will be successful in all aspects.
Best regards!
On behalf of the Organizing Committee,
Nguyen Trong Co
3
Assoc. Prof. Dr. Nguyen Trong Co Academy of Finance
Abstract: This study is carried out for the purpose of analyzing the current financial autonomy in schools (focusing on high schools) in Ho Chi Minh City. The research content includes autonomy in revenue sources and rates; autonomy in using financial resources; autonomy in distributing financial results. Using the formula to calculate the level of financial autonomy by the total non-business revenue / total recurrent expenditure to evaluate the level of financial autonomy of high schools (high schools) in Ho Chi Minh City. Research results show that the level of financial institutions of high schools depends greatly on the development of high-quality educational programs in addition to formal education programs. In order to upgrade the high schools to self-guarantee funding totally by public budget recurrent spending units, it is necessary to promote the policy of socialization of education services.
Keywords: autonomy, financial autonomy, non-business units, education and training
1. PLACE THE PROBLEM
In Vietnam, the empowerment of autonomy to schools started in 2006, when there was Decree 43/2006 / ND-CP of the Government stipulating the autonomy and self-responsibility in implementing tasks. , organizational structure, payroll and finance for public non-business units.
The delegation of autonomy to schools according to Decree 43 has initially seen a positive change, creating a favorable mechanism for schools to improve autonomy, self-responsibility, and be more proactive in the implementation of its activities, providing quality-oriented, effective educational services to better meet the needs of society. However, in the implementation process, there are still some difficulties and problems because the regulations on the ceiling tuition fees, the regulations on socialized revenues are too tight, some norms of expenses still have to be complied with According to the industry’s no longer appropriate technical and economic norms.
Being the most developed city in Vietnam with a dense population, the demand for using high-quality educational services in Ho Chi Minh City is high. Over the several years, the local government has always prioritized to invest in education and training, and ensured the rate of public expenditure for education reaches 20% of the total budget. The city has achieved 276 classrooms per 10,000 inhabitants in the condition that each year the number of students increases;
the rate of primary school students learning English in schools is 95%, students studying IT at 63%. The city’s high school exam result in 2019 was ranked 5th in the country [8]. In addition achievements, due to the high mechanical increase in population, there is big challenge of school facilities in some districts such as: the number of students per class is still high, do not ensure for accommodating to 2 sessions per day. In order to deal development requirements on investment
from the budget, the city has promoted the implementation of the policy of socialization in the education sector, the education sector promotes autonomy in schools to mobilize resources from investment in education development in the private sector. With the spirit of promoting autonomy but not affecting the quality of education, the ultimate goal of the implementation of autonomy is to improve the quality of education output, which poses many problems that need to be solved on management mechanism, policy system to mobilize and effectively use financial resources to meet the requirements of learners and society. Therefore, the assessment of the current status of the financial institution mechanism in high schools in Ho Chi Minh city, thereby proposing a number of major solutions to improve the MFI mechanism at high schools.
2. RESEARCH OBJECTIVES AND RESEARCH METHODS
- The objective of this study is to analyze the current situation of the MFI mechanism at high schools in Ho Chi Minh City; thereby proposing a number of solutions in implementing the financial mechanism of the schools.
- Qualitative research method is used by the author to accomplish the above research objectives, the author uses mainly the methods of analysis, statistics, description, and schematic of the collected secondary data.
3. RESEARCH RESULTS
3.1. The reality of classifying the type of unit according to degree of autonomy
Among the high schools in the city, there is only 1 unit classified to ensure all regular operating expenses (Saigon South High School), the rest are classified as self-guaranteed units ensure a regular expenditure (TCTC). Survey results at 98 high schools on the level of financial autonomy in 2018 show:
+ 100% TCTC: 01 Saigon South High School.
+ Level of TCTC from over 70% to less than 100%: 03 high schools implementing advanced models are located in urban districts;
+ Level of TCTC from over 50% to below 70%: There are 15 schools in the sample; of which 10 high schools in the inner district accounted for 66.67%, 5 high schools in suburban districts accounted for 33.33%, no high schools located in suburban districts;
+ Level of TCTC from 30% to below 50%: There are 64 schools in the sample; Of which, there are 35 schools in urban districts accounting for 54.7%, 12 schools in suburban districts accounting for 18.8% and 17 schools in suburban districts accounting for 26.6%.
+ level of TCTC from 10% to below 30%: There are 13 schools in the sample; In which, 5 schools in the inner district make up 38.5%, 1 school in the suburban district accounts for 7.7%, 7 schools in the suburban district account for 53.8%.
3.2. The situation of autonomy in revenue sources and rates at high schools
* The status of revenue autonomy
Sources of income of high schools include non-business revenues (collection of tuition fees, fees; collection of services and other revenues) and funding from public budget
Table 1. The situation of revenue mobilization of high schools in the city. Ho Chi Minh
Unit: million VND Year Total self-
financing
Collecting career fees
Budget for regular budget allocation Collecting fees
and charges
Service collection
Other receipts
2012 935.332 59.374 42.356 102.904 730.698
2013 1.078.918 88.917 47.566 123.280 819.155
2014 1.256.776 143.076 46.381 180.932 886.387
2015 1.425.382 177.364 42.901 302.734 902.383
2016 1.609.784 193.627 56.212 392.360 967.585
2017 1.705.878 185.584 46.334 499.334 974.626
2018 1.994.793 185.341 69.311 609.760 1.130.380
Source: Report on the situation and results of the implementation of the autonomy mechanism at the NTSNQ in Ho Chi Minh City 2012 - 2018
The total autonomous funding of high schools has increased over the years; Total autonomous funding in 2018 increased 113.3% compared to 2012. The total autonomous funding (calculated by the non-business revenues plus the state budget recurrent funding) increased due to two reasons:
- First, the state budget funding for high schools increased, in 2018 increased 34.8% compared to 2012. In the city. In Ho Chi Minh City, the allocation of state budget for education is based on the number of students, there is a distinction between ordinary and specialized students. Thus, due to the increase in the number of students and the increase in the allocation norms, the state budget funding for high schools increases. However, although state budget funding accounts for the largest proportion of total revenues of schools, this proportion tends to decrease from 78.1%
in 2012 to 53.2% in 2018.
- Second, the total non-business revenue increased, in 2018 increased 322.4% compared to 2012. Of the total non-business revenue in 2018, other revenues accounted for the largest proportion of 70.5%; fees and charges accounted for 21.4% and service revenue 8.1%.
* The status of autonomy in terms of collection
The rates of high schools are currently regulated as follows:
+ Each school year, the Department of Education and Training and the Department of Finance issue the instructions on the collection and use of tuition fees and other revenues of public educational institutions; in which there are regulations on tuition fees of high school students and there is a distinction between students in districts and districts. Specialized students in specialized high schools and public high schools with specialized classes are free of charge. Currently, the tuition fee for high school students in districts is 120,000 VND / student / month and for high school students in districts is 100,000 VND / student / month.
+ Other revenues such as 2-day teaching; classes to strengthen foreign languages, informatics; organizing study with foreign teachers; organizing life skills programs, extracurricular programs, gifted subjects; organizing semi-boarding classes, units are actively
calculating these revenues to ensure the principle of collecting enough to cover expenses and having agreement with students’ parents.
In the academic year 2018 - 2019, the Department of Education and Training of the city promulgates a framework that regulates the rates for some agreed revenues, such as the fee for organizing 2 sessions per day for high schools from 200,000 to 300,000 VND / student / month. ; semi-boarding service and management organizations from 200,000 to 250,000 VND / student / month; semi-boarding toilet money from 30,000 to 50,000 VND / student / month; semi-boarding equipment and supplies 150,000 - 200,000 VND / student / year.
+ Only 03 high schools Le Quy Don, Nguyen Du, Nguyen Hien implement the advanced school fees according to the trend of integration. Accordingly, in addition to the regular tuition fees like other high schools, these schools are allowed to collect a maximum of VND 1,500,000 / student / month (collected for 9 months), including: teaching 2 sessions, English Enhancing, studying with foreign teachers, gifted subjects, life skills, extracurricular programs, facilities for advanced models (this fee does not include payments on behalf of households and agreement collection other activities not included in the mentioned activities such as Integrated English Program, part-board service organization, ...).
+ For schools participating in the project “Teaching and learning Mathematics, Science and English with integrated English and Vietnamese programs”, the fee level is implemented according to Decision No. 5695 / QD-UBND dated November 20, 2014 on to approve the project “Teaching and learning Mathematics, Science and English with integrated English and Vietnamese Programs”
at public schools in the city according to the following 04 plans:
Option 1: Tuition fee of 3.1 - 3.2 million VND / month for 6 periods / week with 100% foreign teachers;
Option 2: Tuition 4 million VND / month for 8 periods / week with 100% foreign teachers;
Option 3: Tuition fee of 2.2 million VND / month for 6 periods / week with 50% of foreign teachers and 50% of Vietnamese teachers;
Option 4: Tuition is 3.2 million VND / month for 8 periods / week with 50% foreign teachers and 50% Vietnamese teachers.
+ Only Saigon South High School is a unit that self-guarantees that the operating budget can collect the tuition fee of 600,000 VND / student / month and not collect any other fees.
With the regulations on collection and use of tuition fees and other charges as above, it can be seen that the revenue sources of high schools differ greatly between high schools in inner districts and high schools in foreign districts. Fort; the difference between the high schools and other high schools. Due to being located in areas with more developed socio-economic conditions, high schools in urban districts have the conditions to deploy many service activities to increase career income such as English enrichment classes, Gifted clubs, extracurricular programs, English - Vietnamese integration programs, this has influenced the level of financial institutions of high schools.
3.3. The situation of autonomy in using financial sources
Survey results from high schools show that most high schools have done well in the financial management, expenditure management in the unit. All schools have developed internal spending regulations; every year, units amend and supplement their internal spending regulations to suit the actual situation and the change of related spending policies.
For recurrent expenditures, schools actively used autonomous financial resources for recurrent expenditures. Expenditure and spending norms comply with the internal spending regulations approved by competent authorities (the spending norms do not exceed the spending limits set by competent state agencies by all high schools. are classified as self-guaranteeing units partly operating costs). The funds saved from this expense will be used to pay the additional income and set up funds in accordance with the provisions of Decree 43/2006. For non-recurring assignments, schools have paid in accordance with the State Budget Law and current law for each funding source. Recurrent expenditures account for more than 85% of total operating expenditures of schools, the rest are non-recurrent expenditures accounting for about 15% of total operating expenditures.
Based on the State’s current regimes and policies and the implementation of the units’ internal spending regulations, the units have made an estimate and used funds for their regular spending tasks. Among recurrent expenses, personal payment accounted for the largest proportion (about more than 82%), the rest were professional expenses, expenses for procurement and repair of assets, expenses for setting up funds and other expenses.
Table 2. Structure of recurrent expenditures of high schools in Ho Chi Minh City
Unit: %
Content 2012 2013 2014 2015 2016 2017
Personal payments 81.5% 82.5% 82.6% 83.7% 82.1% 82.6%
Expenses for professional expertise 4.0% 3.9% 3.9% 4.0% 5.6% 5.7%
Expenses for repair, maintenance
and maintenance of property 2.8% 1.0% 2.0% 1.4% 1.2% 0.8%
Other expenses 5.7% 3.8% 5.4% 5.0% 5.7% 6.8%
Expenses for setting up the Fund 6.1% 8.8% 6.1% 5.9% 5.4% 4.1%
Total recurrent expenditure 100% 100% 100% 100% 100% 100%
Source: High School Finalization Report - Department of Education and Training 3.4. Situation of autonomy in the use of financial results in the year
The total revenue gap between recurrent activities of high schools increased continuously from 2012 to 2018. In 2018, the total difference between revenues and expenditures of high schools increased by 70.5% compared to 2012. This is the condition. for units to increase income for employees and set up funds according to Decree 43/2006.
Table 3. Distribution of the gap between recurrent income and expenditure of high schools in Ho Chi Minh City
Unit: million VND Year Total difference
between revenue and expenditure
The total income increased
Non-fiction Fund
Bonus welfareand
Income stabilization
fund
2012 172.641 116.138 23.677 30.884 1.941
2013 187.932 125.768 24.792 34.610 2.762
2014 201.889 139.188 22.533 38.827 1.341
2015 201.563 140.323 21.000 39.392 848
2016 243.354 165.633 29.309 11.739 36.673
2017 260.786 173.296 28.868 55.763 2.859
2018 294.290 176.446 33.859 72.948 11.037
Source: Summary of reports on the implementation of financial autonomy and self-responsibility of public non-business units
All high schools have positive recurrent operating income margins. In 2018, the total revenue difference greater than the expenditure of high schools was VND 294,290 million. Most of the income and expenditure difference is used by the units to increase income for employees; The employee’s additional income accounted for 66.5% to 69.6% of the income and expenditure difference in the period 2012 - 2018, the rest was deducted from the career development fund, bonus fund and fund. income stability. The total additional income of workers at high schools increased steadily, in 2018 the total additional income increased by 52% compared to 2012. In which, Le Quy Don High School had the highest income increase of 50. million VND / person / year and Hiep Binh High School with the lowest added income is 3 million VND / person / year.
The non-business development fund is used to invest, develop and improve non-business activities, supplement investment capital for building facilities, purchase equipment and means of work, and pay for the application of scientific and technological advances. to provide additional training and training to improve working capacity for officials and employees; ... The SWF has fluctuated over the years, but in general, the deduction rate for the NTFP Fund tends to increase. In 2018, the total number of NTFP Funds increased by 43% compared to 2012. Thus, schools in the city’s general education sector are very interested in investing, upgrading equipment procurement and training workers to improve the quality of education in schools.
4. SOME SOLUTIONS TO PROMOTE THE IMPLEMENTATION OF FINANCIAL AUTONOMY MECHANISM AT HIGH SCHOOLS IN HO CHI MINH CITY
Firstly, upgrade the autonomy finance of high schools in the spirit of promoting the socialization of general education services.
- Expand the advanced school model according to the trend of regional and international integration; upgrade the financial institutions of the schools according to the advanced model.
With the aim of building an advanced, modern and integrated model in order to meet the need to enjoy higher quality educational services accessible to and equal to regional and international
countries; Ho Chi Minh City has implemented this educational model at all educational levels from kindergarten to high school. The developed advanced model has created conditions for schools to increase revenue sources to improve the quality of teaching and learning, thereby contributing to renovating the operating mechanism of these units, promoting socialization of educational services. . This is the initial foundation for implementing self-control and recurrent expenditure of general education non-business units.
In the immediate future, with three schools that are implementing advanced models with an MFI level of over 70%, it is necessary to upgrade the MFIs to a unit that ensures all recurrent expenditures by 2021. To perform this task, it is necessary to increase the revenue collection The state-of-the-art process ensures that the schools collect enough to cover recurrent expenditures, on the basis that the state invests in additional facilities and trains teachers to ensure the true quality of advanced schools.
In the following years, the city needs to have a specific roadmap to orient which schools will implement the advanced model (schools in the inner district, schools in the district center). When recognized as an advanced school, the tuition fees of schools will increase according to the 3-5 year roadmap, and the state budget funding will also decrease gradually according to the roadmap.
At the end of the period of 3-5 years, the schools will ensure regular spending.
- Raising high school fees on the basis of determining the cost of general education services, the city’s ability to balance the budget and the ability to pay the people.
In the spirit of promoting the socialization of general education services, the increase in tuition fees will be adjusted in the direction that schools in districts have slower growth than schools in districts. Part of the regular budget saved by the city budget will be used to invest in new construction, renovation and upgrading of facilities and equipment for schools; direct support for beneficiaries in the form of scholarship programs for students with difficult circumstances or excellent students at all levels, ...
- Encourage schools to participate in the integrated English - Vietnamese Program project;
expanding and improving the quality of intensive English programs, informatics, learning English with foreign teachers, gifted clubs. Implementation of these programs enables schools to increase revenues and improve the quality of student output.
Second, reform the method of assigning state budget estimates to high schools from allocation to the form of assignment.
Decree 32/2019 / ND-CP specifies the conditions for assigning the tasks of providing public non-business services using state budget funds. Accordingly, the assignment of the task of providing public non-business services using the state budget funds is only implemented for the sub-national units under the management agencies assigned to provide public services (SNC). Assigning the task of providing services using state budget funds to the public non-business units (ĐVSNCL) when fully meeting the following 4 conditions:
- ĐVSNCL has functions and duties to provide SNC in accordance with assigned SNC under the decision of the competent authority. In addition, for DVSNCL assigned tasks in the field subject
to the State license to operate must meet additional conditions must be the unit has been licensed by the competent authority according to the provisions of specialized law;
- ĐVSNCL has been delegated the authority of the financial institution by the competent authority according to the autonomy mechanism of ĐVSNCL in each field;
- The provision of SNC services is a regular annual task of the unit, has been and is being assigned by the superior management agency;
- List of DVSNCL has not developed technical and economic norms and unit price, implemented according to the reasonable quantity, volume, cost according to the approved estimate by competent authorities.
According to these regulations, the method of assigning state budget estimates to high schools should be renewed from the mode of allocation to the form of assignment. At the same time, building clear quantitative criteria to evaluate the performance of the assigned tasks of the schools.
These quantitative criteria should be built based on assessments of the quality of students of schools such as: percentage of good and excellent students; good conduct rate; high school graduation rate; average graduation score; university passing rate; awards for excellent students at all levels;
English output standard results of high school students; ...
Third, strictly control the financial management, management and use of public assets, the distribution of funds at schools associated with increasing accountability of the head in terms of autonomy.
In order to limit mistakes in the management of finance and public assets at the NTSCs in general and schools in particular, it is necessary to strengthen the inspection and supervision of revenue and expenditure contents at the units. At the same time, it increases the accountability and accountability of principals and financial accounting staff at the schools.
Regarding the distribution of financial results in the year, the governing body should strictly supervise and control the setting up and use of funds at schools in accordance with regulations.
The allocation of monetary funds from the difference between revenues and expenditures, from the saved funds should pay more attention to the Professional Operation Development Fund. Because the infrastructure invested in the future will be degraded or need new investment, so it is necessary to have a strategy to extract the annual career development fund to create this large fund in the future to invest. major projects bring high efficiency to the service of education and training in the condition that investment sources from the state budget are reduced. The Career Development Fund must be used for the purpose of training and improving the professional qualifications of staff and teachers in schools; strengthening school facilities, ensuring proper standards, norms and assigned functions.
Fourth, the conditions for implementing the above solutions.
- Management agencies at all levels need to complete the law provisions on financial autonomy in schools.
+ Building a network of quality units of the field of education and training;
+ Completing the formulation and promulgation of economic and technical norms, educational service prices;
+ Issue documents guiding the determination of the cost of educational services for high schools;
+ Reform the budget allocation mechanism according to output criteria, associated with fair and efficient goals; associating with the demand for using high quality educational services of the city people; There is a distinction between quality, efficient units and poor quality, ineffective units;
+ Promote the autonomy in organizational apparatus and payroll to high schools;
- Schools need to clearly define the financial advantages and disadvantages of the unit when implementing the financial institution; propose specific plans, roadmaps and steps to remove each difficulty and problem;
+ Promote propaganda and dissemination of the MFI mechanism to each officer, teacher and student’s parents to get consensus, especially from parents in sharing teaching - learning fees with home -School. This is the basis for promoting the socialization of educational services.
5. CONCLUSION
The financial institution mechanism for the NTSCs in general and high schools in particular is being completed; this is a condition for schools to strongly innovate the financial management to contribute to the educational development of the city. The empowerment of synchronous autonomy on the contents of organizational structure and personnel autonomy combined with financial autonomy contributes to promoting the provision of general education services according to the market mechanism, promoting the commune educational service association. Part of the State budget saved will be used for investment in facilities; increase the application of technology in teaching - learning activities; pay directly to users of the service in the form of scholarships, implementing policies on tuition exemption and reduction.
References
1. People’s Committee of Ho Chi Minh City, Report on the situation and results of the implementation of the autonomy mechanism of the specialized agencies in Ho Chi Minh City from 2012 to 2018.
2. People’s Committee of Ho Chi Minh City, Summary Report on budget revenue and expenditure estimates in 2017 and budget revenue and expenditure estimates in 2018.
3. Official Letter No. 2871 / GDĐT-KHTC guiding the revenue rate framework for agreed revenues for units under the Department of the school year 2018 - 2019.
4. Decision No. 5695 / QD-UBND dated 20/11/2014 on approving the project “Teaching and learning Mathematics, Science and English with integrated English and Vietnamese Programs”.
5. Action Program No. 33-CTrHĐ / TU dated April 16, 2019 Implementing Resolution No. 19-NQ / TW dated October 25, 2017 of the Sixth Conference of the XII Central Executive Committee, group system organization and management, improve the quality and efficiency of the quality units.
6. Decision 926 / QD-UBND dated 7 March 2017 on the development orientation of public non-business units in Ho Chi Minh City until 2021.
7. Official Letter No. 2871 / GDĐT-KHTC on the guidance on the fee framework for agreed revenues for units under the Department of the school year 2018 - 2019.
8. http: //dangcongsan.vn/vien-phat-trien-giao-duc-viet-nam/tin-tuc-su-kien/tp-ho-chi-minh-luon-danh- uu-tien-cao- e-mail-to-duc-531874.html
12
IN DOUBLE TAXATION AGREEMENTS OF VIETNAM
Master, Nguyen Thuy Trang
Academy of Finance
Abstract: The concept of “permanent establishment” (PE) in tax treaties plays a key role in determining the taxing jurisdiction, and hence the tax base, of the country. There are several ways that taxpayers can exploit PE definition in tax treaties to avoid tax liability, such as through commissionaire arrangements, through the specific exceptions and through electronic transactions. By using qualitative research method based on ActionAid’s available database (2016), this study evaluates the concept of PE in the double taxation agreements (DTAs) that Vietnam has signed up to the time of study. Following Hearson M.’s method, this study also updates data for 07 Vietnam’s DTAs which has not been in the dataset yet and 09 DTAs which Vietnam has signed recently from 2015 to 2020. Generally, Vietnam’s DTAs have relatively good PE index in comparison with several countries in Southern Asian and in comparison wih average threshold of developing countries. However, PE definition in treaties between Vietnam and OECD countries/G20 countries/BEPS Actions countries bring less source taxing rights than the ones between Vietnam and non-members of above groups do. From the result, this study gives several suggestions for policy implications.
Keywords: BEPS, double taxation agreement, permanent establishment, tax treaty
1. INTRODUCTION
Taxation plays a vital role in the development of any economy. It provides revenue to fund governmental activities, ensures resources redistribution, streamlines consumption of certain goods and services, reduces inflation and generates employment. Thus, tax is a fiscal tools used by many governments in the world to achieve their objectives in certain period. Such objectives commonly are maximizing governmental revenue and encouraging economic development (Akanle, 1991). However, tax is one of the important costs of a corporation and in maximizing shareholders’ wealth, firms always try to pay tax with the smallest amount by legal and also illegal ways. Tax avoidance is a plan or arrangement established for the sole or dominant purpose of avoiding tax (Braithwaite, 2005). Tax avoidance can be understood as the effort of companies in order to minimize tax payment legally.
Tax treaties represent an important aspect of the international tax rules of many countries, espe- cially in globalizing era. The taxing rights of the states is one of the biggest issues in cross border trans- actions because it decides the budget revenue deriving from tax. DTA, which is concluded by nearly every jurisdiction in the world, have served to prevent harmful double taxation and remove obstacles to cross-border trade in goods and services, and movements of capital, technology and persons.
Vietnam started to sign DTA in 1992. Up to August, 2020, Vietnam has signed a DTA with 80 countries/territories in the world. Table 1 presents the classification of Vietnam’s DTAs basing on
whether or not the treaty partner is an OECD member and whether or not the treaty partner is a G20 member. Vietnam has signed DTAs with 27 over 35 OECD members (accounting 33.75% of total number of Vietnam’s DTAs). Besides, if classifying basing on whether or not the treaty part- ner is a G20 member, the number of treaty partner being G20 member is 14 partners (accounting 17.5% of total number of Vietnam’s DTAs).
Figure 1 shows that the number of DTAs Vietnam signed from 1994-1996 being 24 DTAs, in which 14 is the number of DTAs Vietnam has signed with countries being OECD members, equals about one third of the total number of DTAs that Vietnam has signed up to 2020. One of the most appropriate reason of this fact is that in this period, right after clearing relations with world economic organizations and normalized relations with the United States as well, Vietnam endeavored in attracting resources from outside to serve the domestic economic development.
Fig 1. Number of signed DTAs of Vietnam over a 18-year period from 1992 to 2020
[Source: Author collected from Vietnam Ministry of Finance’s Website - http://www.mof.gov.vn]
Table 1. Classifying Vietnam’s DTAs by groups of countries
Signing with Signing with
OECD Country Non-OECD
Country G20 Country Non-G20 Country
Number of DTAs 27 53 14 66
% 33.75 66.25 17.5 82.5
Total of DTAs 80 80
[Source: Author collected from ActionAid Tax Treaties Dataset 2016]
The number of DTAs which Vietnam has signed is explained by the goal of attracting FDI after opening up the economy. However, the effect of signing DTAs on FDI attraction in Vietnam still needs to be considered. Studies which have been done by many researchers and organizations around the world on the impact of DTA on FDI attraction show that this impact is mixed, including positive, negative and neutral effect as well. While, Barthel et al. (2009);
Blonigen and Davies (2004); Coupé et al. (2009) and Davies (2004) argue that the positive
