Ministry gives push to equitisation of SOEs
| |
Vietnam Bank for Agriculture and Rural Development (Agribank) is among SOEs which must be privatised this year (Photo: baodautu.vn) |
According to the ministry’s Corporate Finance Department, the COVID-19 pandemic caused disruptions in production, business and other social activities, which also affected the equitisation and pestment of SOEs.
The equitisation and pestment had stagnated, the department said, pointing out that in the first four months of this year, no SOEs were privatised.
Statistics showed that from 2016 to April 2020, 174 SOEs had equitisation plans approved. They had total assets worth more than VND443 trillion (US$19.1 billion), in which the State capital accounted for 46%.
Among the above 174 SOEs, only 36 enterprises completed equitisation following the Prime Minister’s Decision No 26/2019/QĐ-TTg dated August 15, 2019. This meant that 92 SOEs must be privatised in the remaining months of this year.
Hanoi had 13 enterprises which must be equitised this year, HCM City 38, the Commission for the Management of State Capital at Enterprises six, the Ministry of Industry and Trade four and the Ministry of Construction two.
Deputy Director of the Corporate Finance Department Pham Van Duc said that the equitisation was expected to be sped up in the remaining months of this year.
Among 92 enterprises which must be equitised this year, there were big companies which were expected to be attractive to investors such as Vietnam Bank for Agriculture and Rural Development, Vietnam Posts and Telecommunications Group, Vietnam National Coal – Mineral Industries Holding Corporation Limited, Vietnam National Chemical Group and Mobifone Telecommunications Group.
According to the finance ministry, besides the impacts of the COVID-19 pandemic, the equitisation and pestment also faced bottlenecks in evaluating corporate value, especially in land value.
The ministry said that the urgent task was minimising the impacts of COVID-19 and bringing the economy back on its feet.
At the same time, focus would be placed on strengthening corporate finance management and improving the operation efficiency of SOEs.
The ministry also raised a number of solutions to speed up the equitisation in the remaining months of this year.
Accordingly, SOEs must complete the evaluation of their corporate value and publicise information by the end of this year. Accountability of the SOEs' leaders must be enhanced if the equitisation and pestment missed the plans.
Hanoi city, the Ministry of Industry and Trade, and the Ministry of Construction must speed up the pestment as their workload remains huge.
Related News
Equitization and divestment target is difficult to become true
17:26 | 14/01/2024 Finance
State-owned enterprises adjusting end-of-year business plans
13:44 | 20/10/2023 Finance
SOEs help stabilise macro-economy
16:21 | 06/09/2023 Finance
Vietnam, China boost cooperation in SOE reform, development
20:12 | 18/03/2023 Finance
Latest News
Closely monitoring market fluctuations to consider appropriate time to adjust prices
09:30 | 26/04/2024 Finance
How does the Land Development Fund work effectively?
09:19 | 26/04/2024 Finance
Vietnam seeks to remove obstacles in upgrade of securities market
13:50 | 25/04/2024 Finance
Price stability from supply increase and transparency in trading in gold market
09:42 | 25/04/2024 Finance
More News
SBV takes more actions to stabilise foreign exchange rates
13:43 | 24/04/2024 Finance
Proposal to exclude criminal liability for tax officials when businesses provide false information to refund VAT
10:35 | 24/04/2024 Finance
Corporate bond maturity in 2024 remains high: MoF
13:51 | 23/04/2024 Finance
Support clearance procedures for imported gold for bidding
09:33 | 23/04/2024 Finance
The exchange rate will gradually cool down from the end of the second quarter of 2024, while interest rates will remain low
09:32 | 23/04/2024 Finance
Majority of credit institutions forecast profit growth in 2024
15:16 | 22/04/2024 Finance
Central bank plans to auction gold bars on April 22
18:00 | 21/04/2024 Finance
Old loans must endure higher interest rates temporarily: central bank
15:44 | 19/04/2024 Finance
State-owned enterprises flourished
14:15 | 19/04/2024 Finance
Your care
Closely monitoring market fluctuations to consider appropriate time to adjust prices
09:30 | 26/04/2024 Finance
How does the Land Development Fund work effectively?
09:19 | 26/04/2024 Finance
Vietnam seeks to remove obstacles in upgrade of securities market
13:50 | 25/04/2024 Finance
Price stability from supply increase and transparency in trading in gold market
09:42 | 25/04/2024 Finance
SBV takes more actions to stabilise foreign exchange rates
13:43 | 24/04/2024 Finance