The Impact of Budget Reliability on Socio-Economic Development in Vietnam: A Study in Long An Province

Abstract

The paper evaluates the influence of budget reliability on socio-economic development in Long An, employing the BVAR regression approach on data from the research period 2018 –2024. The author examines budget reliability within the context of the Public Expenditure and Financial Accountability Program (PEFA). Simultaneously, socio-economic progress in Long An is assessed using a set of metrics that reflect three dimensions: economic, social, and environmental. The research findings indicate that increased budget stability enhances incentives to contribute to economic and social growth due to the efficacy of public financial management; yet it adversely impacts environmental quality. Consequently, the article suggests several methods to enhance budget predictability to foster socio-economic development in Long An province.