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1、1ENJEUX MODERNES DUNE VILLE MILLNAIRETHE WORLD BANKDECENTRALIZATION&SPATIAL INTEGRATION ADVISORY PROGRAMCHALLENGES AND OPPORTUNITIES?REGIONAL INVESTMENTIN VIET NAMJANUARY 2024Public Disclosure AuthorizedPublic Disclosure AuthorizedPublic Disclosure AuthorizedPublic Disclosure Authorized2?REGIONAL IN

2、VESTMENT IN VIET NAMTHE WORLD BANKDECENTRALIZATION&SPATIAL INTEGRATION ADVISORY PROGRAM?CONTENTMotivation and Key Messages0102 03 Allocative inefciencies related to strategic infrastructure 14Allocative problems related to under-investments in environmental protection and adaptation to climate risks

3、 17Inefciency in the implementation of public investment 18Inefciencies in the PIM and IGF systemsAn Overview of Public Investment Trends in Vietnam 61014CONTENT05Investment assignments and plans linking closely with integrated masterplans 31Adoption of efective instruments for vertical coordination

4、 across levels of government 32Adoption of efective instruments for horizontal coordination among sub-national governments 32Conclusions Recommendations and Next Steps04Lack of a conducive intergovernmental fscal framework 21Lack of an enabling legal framework for vertical and horizontal investment

5、coordination 24Lack of an efective incentive and enforcement mechanism 25Lack of an efective planning-budgeting-investment framework 26Systemic Problems in Subnational PIM and IGF Systems2030Annex 1.OECD principles for efective public investment across levelsof government and selected country applic

6、ation examples 33Annex 2.Quantifying the inefciencies of a PIM system 3561MOTIVATION AND KEY MESSAGES1.Vietnam,in seeking to reach upper middle-income status by 2030 and high-income status by 2045,aspires to become a modern and industrialized nation with a higher quality of life for its citizens.To