Vietnam Bank for Agriculture and Rural Development (Agribank) is among SOEs which must be privatised this year (Photo: baodautu.vn)Hanoi (VNS/VNA) - The Ministry of Finance has raised a number of measures toaccelerate the equitisation of State-owned enterprises (SOEs) since the process madeno improvements recently.
According to the ministry’s Corporate Finance Department, the COVID-19 pandemiccaused disruptions in production, business and other social activities, whichalso affected the equitisation and divestment of SOEs.
The equitisation and divestment had stagnated, the department said,pointing out that in the first four months of this year, no SOEs wereprivatised.
Statistics showed that from 2016 to April 2020, 174 SOEs hadequitisation plans approved. They had total assets worth more than 443trillion VND (19.1 billion USD), in which the State capital accounted for 46percent.
Among the above 174 SOEs, only 36 enterprises completedequitisation following the Prime Minister’s Decision No 26/2019/QĐ-TTgdated August 15, 2019. This meant that 92 SOEs must be privatised in theremaining months of this year.
Hanoi had 13 enterprises which must be equitised this year, HCM City 38, theCommission for the Management of State Capital at Enterprises six, the Ministryof Industry and Trade four and the Ministry of Construction two.
Deputy Director of the Corporate Finance Department Pham Van Duc said that theequitisation was expected to be sped up in the remaining months of thisyear.
Among 92 enterprises which must be equitised this year, there were bigcompanies which were expected to be attractive to investors such as VietnamBank for Agriculture and Rural Development, Vietnam Posts andTelecommunications Group, Vietnam National Coal – Mineral Industries HoldingCorporation Limited, Vietnam National Chemical Group and MobifoneTelecommunications Group.
According to the finance ministry, besides the impacts of the COVID-19pandemic, the equitisation and divestment also faced bottlenecks inevaluating corporate value, especially in land value.
The ministry said that the urgent task was minimising the impacts of COVID-19and bringing the economy back on its feet.
At the same time, focus would be placed on strengthening corporate financemanagement and improving the operation efficiency of SOEs.
The ministry also raised a number of solutions to speed up theequitisation in the remaining months of this year.
Accordingly, SOEs must complete the evaluation of their corporate value andpublicise information by the end of this year. Accountability of the SOEs'leaders must be enhanced if the equitisation and divestment missedthe plans.
Hanoi city, the Ministry of Industry and Trade, and the Ministry ofConstruction must speed up the divestment as their workload remains huge./.
According to the ministry’s Corporate Finance Department, the COVID-19 pandemiccaused disruptions in production, business and other social activities, whichalso affected the equitisation and divestment of SOEs.
The equitisation and divestment had stagnated, the department said,pointing out that in the first four months of this year, no SOEs wereprivatised.
Statistics showed that from 2016 to April 2020, 174 SOEs hadequitisation plans approved. They had total assets worth more than 443trillion VND (19.1 billion USD), in which the State capital accounted for 46percent.
Among the above 174 SOEs, only 36 enterprises completedequitisation following the Prime Minister’s Decision No 26/2019/QĐ-TTgdated August 15, 2019. This meant that 92 SOEs must be privatised in theremaining months of this year.
Hanoi had 13 enterprises which must be equitised this year, HCM City 38, theCommission for the Management of State Capital at Enterprises six, the Ministryof Industry and Trade four and the Ministry of Construction two.
Deputy Director of the Corporate Finance Department Pham Van Duc said that theequitisation was expected to be sped up in the remaining months of thisyear.
Among 92 enterprises which must be equitised this year, there were bigcompanies which were expected to be attractive to investors such as VietnamBank for Agriculture and Rural Development, Vietnam Posts andTelecommunications Group, Vietnam National Coal – Mineral Industries HoldingCorporation Limited, Vietnam National Chemical Group and MobifoneTelecommunications Group.
According to the finance ministry, besides the impacts of the COVID-19pandemic, the equitisation and divestment also faced bottlenecks inevaluating corporate value, especially in land value.
The ministry said that the urgent task was minimising the impacts of COVID-19and bringing the economy back on its feet.
At the same time, focus would be placed on strengthening corporate financemanagement and improving the operation efficiency of SOEs.
The ministry also raised a number of solutions to speed up theequitisation in the remaining months of this year.
Accordingly, SOEs must complete the evaluation of their corporate value andpublicise information by the end of this year. Accountability of the SOEs'leaders must be enhanced if the equitisation and divestment missedthe plans.
Hanoi city, the Ministry of Industry and Trade, and the Ministry ofConstruction must speed up the divestment as their workload remains huge./.
VNA
