Audit snapshot of SOEs failing to come up to mark

State Audit of Vietnam (SAV) deputy auditor general Doan Xuan Tien said the state-owned enterprises sector would experience comprehensive state audits in 2013.

Performance, capital management, usage and ventures of state corporations and groups always garner special attention from the public. Will this continue to be at SAV’s focus in 2013?

We work with state businesses every year, but with some units only. Thereby we have yet to draw a comprehensive picture about this sector.

Next year, we will audit most state groups and corporations as well as state commercial banks, including those being audited in 2012 to appraise their financial situation, governance, production and business outcomes, particularly the investment efficiency of their non-core businesses.

Going into detail, parallel to auditing annual financial statements of the Bank for Social Policies, Deposit Insurance of Vietnam in 2013 we planned to audit 29 businesses, including eight business groups, four-fold more than in 2012. Since the financial scope of to-be-audited businesses is big, albeit to-be-audited businesses remain modest in number we hope to render a more comprehensive picture about the SOE sector, particularly the performance and investment efficiency of state groups and corporations.

What will be the SAV’s priority areas in 2013?

We will focus on appraising the effect and efficiency concerning enforcement of governmental Resolution 13/NQ-CP presenting some solutions to tackle difficulties in business and production and support market, or Instruction 1792/CT-TTg strengthening management of state budget and government bond investments.

We will prioritise auditing businesses playing a role in realising the government’s targets to bridle inflation, ensure macroeconomic stability and social well-being, as well as auditing actual investments of ministries, state agencies and localities, from there consulting with the government effective ways to propel public investment restructuring.

Investment from the state budget and government bonds grabs a great deal of attention from the public. How will SAV handle the task in this field?

In 2013 we will exert energy into auditing state budget and government bond investments to get clear picture of investments by ministries, government agencies and localities in 2012 and relevant periods.

We also need to appraise the effects and efficiency relevant to enforcement of prime ministerial Instruction 1792/CT-TTg strengthening management of state budget and government bond investment which will serve as useful inputs for the government to steer public investment restructuring into the right direction.

Auditing group A and B investment projects, and those on infrastructure development, and state major works using budget capital, ODA and state credit are also priorities.