On 01/10/2018, the Government issued Decree No. 132/2018/ND-CP amending and supplementing a number of articles of Decree No. 16/2016 / ND-CP on management and use of development assistance Official (ODA) loans, preferential loans of foreign donors. This Decree takes effect from the date of its promulgation.
Accordingly, as from 01/10/2018, the expenditure control and payment will be applied in accordance with the current regulations as with the state budget, specifically:
State treasuries at all levels shall control the payment dossiers of projects or project components allocated by the State budget; The project shall apply partial allocation mechanism, partial re-lending of loans and re-lending projects of the provincial-level People’s Committees. Re-lending agencies authorized by the Ministry of Finance to control the payment dossiers of projects or project components shall apply the mechanism of re-lending fully.
The expenditures made before and after ODA loan projects and preferential capital shall be examined and certified by the competent agencies before and after the project owners withdraw capital for payment to the contractors, beneficiary.
Post-expenditure control shall apply to cases of payment from advance accounts to contractors or suppliers, except for advance accounts managed by the Ministry of Finance for account control. To transfer money from advance accounts to custody accounts for payment of independent auditing expenses after the advance account is closed; Transfer of advances from advance accounts to second-level accounts for multi-level projects.
Within 30 days after the withdrawal of capital, the project owner shall complete the payment dossier and send it to the expenditure control agency for certification as the basis for the next payment. In case of necessity, the project owners may reach agreement with the contractors on the mode of expenditure control in advance and send them to the spending control agency for coordinated implementation.
 Thus, it can be seen that Decree 132/2018/ND-CP was issued to overcome shortcomings after two years of implementation of Decree 16/2016/ND-CP, especially in spending activities. The project will use ODA loans and preferential loans, thus contributing to the efficient management and use of Official Development Assistance (ODA) and preferential loans of foreign donors.