Committee established to rule over VND5 quadrillion state capital

PM Nguyen Xuan Phuc hands over decision to Nguyen Hoang Anh. Photo: VGP

In the morning of February 12, 2018, Prime Minister Nguyen Xuan Phuc handed over the appointment of Nguyen Hoang Anh, former Secretary of the Cao Bang Party Committee, as Chairman of the Committee for State Capital Management. At present, the committee is responsible for managing state assets and capital of around VND5.4 quadrillion ($239 billion).

The governmental body must co-ordinate closely with ministries, agencies, and localities to chalk out concrete measures to combat corruption and wastefulness at state-owned enterprises (SOEs), PM Phuc said.

Therefore, it is necessary to minimise negative activities in SOEs, reduce unreasonable costs, and turn them to make a significant contribution to the GDP growth of the country. The committee should co-ordinate with ministries and related agencies to propose measures and timelines for tasks of handing over management of all SOEs from ministries and agencies to the committee.

Two major tasks

In the long run, the committee must hasten the equitisation and capital withdrawal process, while raising operational efficiency of SOEs, especially state groups and corporations.

PM Phuc emphasised that equitisation must be done in a transparent and open manner in order to ensure the maximum interests of the state. It is necessary to perfect a modern corporate governance system in line with market principles and use effectiveness and efficiency as the measure for the performance of managers and officers.

It is necessary to apply high-technology and science as well as innovate to improve the efficiency of capital usage, productivity, competitiveness, as well as make a positive impact on businesses and the whole economy.

The committee is in charge of selecting personnel, especially for top management posts, and must take the lead in innovating management methods.

PM Phuc also urged the Ministry of Planning and Investment (MPI) to submit a decree defining the functions, tasks, powers, and organisational structure of the committee within February.

Meanwhile, the Ministry of Finance, MPI, relevant ministries and agencies, and SOEs have to quickly report on the performance of the enterprises under the committee’s management.

Nguyen Hoang Anh was born in 1963 in the northern port city of Haiphong. He holds a Master’s degree in world economy and international economic relations and a Bachelor’s degree in political theory.

He has been on the National Assembly Committee for Social Affairs, head of the 11^th and 12^th National Assembly’s delegation of Haiphong, Deputy Chairman of the Central Party Committee’s Economic Commission, Deputy Secretary of the Cao Bang Party Committee, and Chairman of the Cao Bang People’s Committee.