UCLG COUNTRY PROFILES Socialist Republic of Vietnam (Cộng hòa Xã hội Chủ nghĩa Việt Nam) Capital: Hanoi Inhabitants: 87.375.000 (2007) Area: 331.690 km² 1. Introduction the government is headed by the Prime Minister who presides over the Cabinet consisting of the Prime Minister, Deputy Prime Ministers, Ministers and their equivalents. 1.2 Origin and main stages of development of local government The origin of Vietnamese local government dates back to the feudal time when the 1.1 Basic data on the state structure, village played an important role in the life population, area of the local people. At that time, mandarins Vietnam is a socialist republic in south-east were assigned by the central government Asia with a population of more than 83 to the regional and provincial (ky) and million and a land area of 331,690 sq km. district (phu) levels, but at the lowest level Vietnam is a single-party state. The (tong), there were local representatives country’s Constitution stipulates that the (chanh tong, ly truong) who ran the local Communist Party of Vietnam is the force activities. This lasted until the French leading the state and society. colonial rule in the 19th and early 20th The National Assembly is the highest centuries. representative organ of the people and the highest organ of state power. The National After the Independence in August 1945, Assembly has the power to elect, release President Ho Chi Minh signed Decree-Law from duty, or remove from office the 63/SL of November 22nd, 1945 on the country's President and the Prime Minister, organisation of People’s Council and and to sanction the proposals of the Prime Administrative Committee of communes, Minister on the appointment, release from districts, provinces and regions, and duty or removal from office of Ministers, Decree-Law 77/SL of December 21st, 1945 among other things. The National on the organisation of People’s Council and Assembly has 498 popularly elected Administrative Committee of cities and deputies, whose term is 5 years. urban municipalities (khu pho). These two decree-laws provided that local authorities The country's President is the head of the comprised four levels: regions (kú) state and represents the country internally (Northern Region, Central Region, and externally. The executive branch of UNITED CITIES AND LOCAL GOVERNMENTS COUNTY PROFILE: VIETNAM Southern Region), provinces, districts and Within this overall framework, however, communes. There were two levels of Vietnam has been proceeding with its administration in the cities under the direct decentralization policy as the country authority of the central government, moves towards a market economy. The namely the city level and the urban center still exerts substantial control, but municipality level. While there were both local governments are gaining more People’s Council and Administrative responsibilities and powers, particularly at Committee at the city level, only the provincial level, since mid-1990s. Administrative Committee existed in the Especially from 1998 the country has been urban municipality level. exercising grassroots democracy which has considerably increased the voice and According to 1959 Constitution, the participation of the public in state affairs. country was divided into provinces and cities under the direct authority of the central government; provinces were 2. Territorial Organization divided into district, provincial cities and towns; districts were divided into 2.1 Government tiers and their nature communes and townships. There were Vietnam has a three-tier local government both People’s Council and Administrative system throughout its territory, consisting Committee in each of the units. Cities of provincial, district and commune levels. could be divided into urban municipalities More specifically, there are different with both People’s Council and categories of administrative units at each Administrative Committee. Since then up level: the country is divided into provinces to now, there have been new constitutions and centrally-controlled cities; provinces of 1980, 1992 and further amendments, are divided into rural districts, provincial but the main structure of local government cities and towns; centrally-controlled cities remains almost the same. are divided into urban districts, rural districts and towns; rural districts are 1.3 Notions of local government, divided into communes and district towns; decentralization, local democracy provincial cities and towns are divided into The 1992 Constitution refers to local wards and communes, urban districts are governments as administrative units. divided into wards. Local governments in Vietnam have a popularly elected council, People’s Council, As of 31 December 2004, there are 64 which is defined as the local organ of state provincial level units (hereinafter power: it is accountable not only to the provinces) including 59 provinces and 5 local people but also to the superior state centrally-controlled cities; 662 district level organs. Its executive organ, People’s units (hereinafter districts) including 25 Committee, on the other hand, is defined provincial towns, 42 urban districts, 59 as the local organ of state administration, towns, and 536 rural districts; and 10,776 which is responsible for implementing the commune level units (hereinafter normative documents issued by higher communes) including 1,181 wards, 583 level state organs as well as the district towns, and 9,012 communes. Each resolutions of its People’s Council. Vietnam of these units has a representative organ is a socialist republic where democratic (People’s Council) and an executive organ centralism is the principle governing the (People’s Committee). organization and activity of all state organs including the local governments. II UNITED CITIES AND LOCAL GOVERNMENTS COUNTY PROFILE: VIETNAM The populations of provinces range from the development and protection of the 5.7 million in Ho Chi Minh City to 0.3 capital. Also, as a centrally-controlled city, million for Bac Kan province, the average Hanoi government is entrusted with some being 1.3 million. Between 2000 and 2004, additional tasks and responsibilities related the number of provinces increased by 3, to urban management, compared with the number of districts by 40, and the provincial equivalents. Regarding such number of communes by 265. Under the aspects as organizational structure and current public administration reform (PAR) relations with other levels of government, certain criteria should be established to however, Hanoi is basically subject to the restrict further division of territorial units. same legal framework as other provinces The capital city, Hanoi, is one of the five and centrally-controlled cities. centrally-controlled cities. An Ordinance on Hanoi Capital provides objectives, 2.2 Financial indicators policies, distribution of responsibilities and Below are some figures indicating decentralization of state management for increasing significance of local Figure 1: Government structure of Vietnam Central government Province Centrally-controlled city Rural district Provincial city Town Urban district Rural district Town Township Ward Commune Ward Township Commune Table 1: Financial indicators for Vietnam, 1997-2002 Unit: Billion VND, % 1997 1998 1999 2000 2001 2002 Total state expenditure 70,749 74,761 84,817 103,151 119,403 135,490 Local expenditure 28,039 31,808 39,040 45,082 56,043 64,573 % local expenditure 39.9% 42.5% 46.0% 43.7% 46.9% 47.7% Total state expenditure/GDP 22.6% 20.3% 21.2% 22.6% 24.2% 24.1% Current expenditure/GDP 16.3% 14.7% 13.8% 15.9% 15.9% 15.7% Capital expenditure/GDP 6.2% 5.7% 7.4% 6.7% 8.3% 8.4% State investment 53,570.0 65,034 76,958.1 89,417.5 101,973 112,237.6 Local state investment 23,515.3 28,284 33,143.1 35,914.2 41,236 57,106.9 % local state investment 43.9% 43.5% 43.1% 40.2% 40.4% 50.9% Source: SRV & WB (2005), GSO (2005) III UNITED CITIES AND LOCAL GOVERNMENTS COUNTY PROFILE: VIETNAM governments in state budget expenditure such, the Communist Party is the only and public investment (see Table 1). political party that can run candidates for elections. However, an individual does not need to be a Party member to stand for an 3. Local Democracy election. Any Vietnamese citizen, upon reaching the age of 21, has the right to 3.1 Local political system stand for election to the National Assembly People’s Councils at all levels are elected and the People's Councils in accordance through universal and equal suffrage and with the provisions of the law. All direct and secret ballot. Voting age is 18. candidates are either nominated by an Elections of People’s Council deputies take organization or self-nominated. place once in every five years. The Law on Election of People’s Council Deputies Before elections, policy documents are determines the number of seats for each issued on desirable quality of People’s locality based primarily on the population Council deputies, and on desirable level of size. Voters are distributed into electoral representation of different social groups in constituencies, each of which shall not People’s Councils. In the last election of elect more than five deputies (Election Law People’s Councils organized in 2004, a 2003). Each voter is to choose as many Prime Minister’s Decision set targets to candidates as the number of deputies to be reduce the share of candidates elected at the electoral unit. Successful representing state organs and increase candidates are those who won more votes, candidates who are