Directing on equitisation SOEs

Deputy PM Vuong Dinh Hue is urging the equitisation of SOEs

According to the report, at the end of 2017, the country had 583 enterprises wholly owned by the state. According to the target set for 2016-2020, the state will only hold a hundred per cent in 103 enterprises working in 11 fields. To reach this, the state will have to sell down its ownership in a good many SOEs, collecting about VND60 trillion ($2.6 billion) in proceeds in 2017-2020.

However, by the end of the second quarter of 2019, only 35 of the 127 SOEs (27.5 per cent) listed for the period were equitised. Thus, progress is far from the goal.

One of the reasons is regulatory obstacles. The other reason is that several ministries, sectors, localities, and state corporations have yet to seriously implement the prime minister's equitisation plan.

Therefore, the deputy prime minister assigned the Ministry of Finance to check the regulations as well as Document No.4544/BTC-TCDN of April 15, 2019 on land use plans after equitising enterprises. Accordingly, the ministry will have to make sure these regulations are in accordance with other regulations and will not lead to a clash of procedures. They will also have to report to the prime minister on the results of implementation within the month.

He also directed the Ministry of Planning and Investment to consider amending and supplementing Decision No.58/2016/QD-TTg dated December 28, 2016 of the prime minister on the criteria for the classification of SOEs as well as the list of SOEs to be equitised in 2016-2020, according to Notice No.7287/VPCP-DMDN dated August 15, 2019.

Ministries, ministery-level agencies, government agencies, people's committees of provinces and centrally-run cities, economic groups, and state corporations were also urged to continue to implement effectively the contents of Digital Notice No.249/TB-VPCP dated July 17, 2019 of Deputy Prime Minister Vuong Dinh Hue on restructuring, equitisation, and divestment in SOEs.