By 2023, procure vaccines from local budgets
Concerning the funding allocation for purchasing vaccines for the Expanded Immunization Program, the MoF stated that in 2023, after the Prime Minister issued a Decision approving three National Target Programs (NTPs) in 2022, the MoF reviewed the current legal provisions governing the basis for allocating funds for purchasing expanded immunization vaccines once no longer implementing the Health - Population mechanism of Target Programs in the period of 2016-2020. There is no regulation stipulating procurement of vaccines covered by the state budget under the provisions of the Law on the state budget on decentralization of the state budget.
| Amendment of the Decree regulating vaccination activities The MoF requests that the Government assign the MoH to submit to the Government for amendment of Decree No. 104/2016/ND-CP regulating vaccination activities, in which the state budget (allocated to the Ministry of Health) ensures funding for the vaccines and medical biologicals for children and pregnant women under the Expanded Immunization Program. |
As a result, the cost of purchasing expanded immunization vaccines in localities is covered by the local budget.
On that basis, the MoF has sent three dispatches to the MoH since 2022, requesting that the MoH develop a 2023 estimate for tasks and contents implemented by the MoH following regulations and written instructions to local budgets.
If the central budget must be used to purchase drugs, vaccines, etc. for children under the age of five (in addition to those belonging to the three NTPs), it is advised that the MoH submit a proposal to competent authorities for consideration and decision to lay the groundwork for allocating central budget.
At the same time, the MoF has sent an official dispatch to the People's Committees of provinces and cities directly under the Central Government to guide the implementation of tasks under the Health - Population Target Program in the 2016-2020 period, which became a recurrent expenditure task.
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| Procurement of immunization vaccines: Call for regulation amendments to central budget allocation |
So far the MoF has not submitted to the competent authorities for the decision on the allocation of the state budget (specifically, the allocation of estimates to the MoH) to buy expanded immunization vaccines; the MoH has issued an official letter guiding localities to implement the tasks of the Health - Population Target Program to convert into recurrent expenditure tasks, including the request for localities to allocate local budgets to purchase vaccines in 2023 under regulations.
Therefore, the MoF has no basis to allocate the state budget for MoH to purchase expanded immunization vaccines in 2023.
The Ministry of Finance does not approve the price of the ordered goods from the local budget
Concerning local issues, several challenges that localities primarily face in procuring expanded immunization vaccines, tuberculosis drugs, ARV drugs, and Vitamin A, include allocation of local funding, price reference, and implementation.
The municipality requests that the MoH conduct centralized bidding, order placing, or price negotiation. Therefore, they face no problems in terms of mechanisms and policies, but rather in the implementation and allocation of bidding and ordering costs.
Regarding the MoH’s proposal to the MoF to appraise and approve prices as a basis for localities to sign contracts to order, the MoF stated that under the provisions of the Government's Decree No. 177/2013/ND-CP, Finance Minister stipulates the maximum purchase price of public utility products and services using state budget (except for products and services under the valuation competence of other ministries, branches, and agencies).
The Provincial People's Committee determines the prices of products, public services, public non-business services, and goods and services ordered by the locality, as well as the allocation of production and business plans based on the local budget in accordance with the Law.
Based on the aforementioned legal provisions, the MoF has the authority to issue maximum prices based on the MoH's appraisal and proposals if the MoH orders the procurement of vaccines from the state budget.
The MoF does not have the authority to appraise and approve specific prices to order, nor does it have the authority to issue maximum prices for products and services ordered from the local budget.
According to the MoF, to promptly supply expanded immunization vaccines, it is recommended that the Government Office report to the Prime Minister to submit to the Government for inclusion in the Resolution that the state budget continues to allocate for the MoH to buy expanded vaccination vaccines for the whole country from the central budget contingency and supplement the 2023 budget estimate for the MoH to implement.
