Deputy PM demands faster SOE equitisation, State capital divestment

August 08, 2020 - 08:40

State capital divestment is still behind schedule.


Deputy Prime Minister Trương Hoà Bình (standing) speaks at the meeting of the steering committee for enterprise reform and development on Thursday. — VNA/VNS Photo 

HÀ NỘI — Deputy Prime Minister Trương Hoà Bình on Thursday requested utmost efforts from ministries, sectors, and State-owned enterprises (SOEs) to achieve the best results possible in equitising SOEs and divesting State capital from businesses.

At a meeting in Hà Nội, the steering committee for enterprise reform and development reported that from 2016 to June this year, more than VNĐ218 trillion (US$9.4 billion) was collected from SOE equitisation and State capital divestment, up 2.79-fold from the figure recorded in 2011-2015 of about VNĐ78 trillion.

State capital divestment, however, is still behind schedule, it said, pointing out that under the PM-approved plan for 2017-2020, divestment at 348 enterprises is to be completed within the period but has been carried out at just 92, or only 26.4 per cent.

Bình, also head of the steering committee, blamed the problem on the slow revision of regulations on equitisation and divestment as well as lax implementation of the land law and the law on the management and use of public assets, while noting that many enterprises waited until the equitisation process began before beginning to address land-related issues.

Some ministries, sectors, localities, and SOEs haven’t been serious in completing the task, he said, adding that the COVID-19 pandemic had an adverse impact on all socio-economic facets, including equitisation, divestment, and the stock market, not to mention certain existing barriers to private sector development.

Noting that the rest of this year is also the final period for carrying out the equitisation and divestment plan for 2016-2020, Bình asked ministries, sectors, and SOEs to exert every effort to restructure SOEs while accelerating equitisation and divestment to record the best possible results. — VNS