Vietnam to complete equitisation of 85 State enterprises in 2018

Wednesday, 2018-07-25 17:22:56
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Deputy Prime Minister Vuong Dinh Hue speaking at the meeting (Photo: VGP)
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NDO - According to the approved plan by the Government, Vietnam must complete the equitisation of 85 State-owned enterprises (SOEs) in 2018, but the country has so far privatised only 19 SOEs.

The information was announced at a meeting held at the Government Headquarters on July 25 which was presided over by Politburo member and Deputy Prime Minister Vuong Dinh Hue. The meeting reviewed the equitisation of SOEs, the divestment of State capital and SOE restructuring in the first half of this year and put forth plans for the second half of this year.

In the first six months of this year, the equitisation plans of 19 SOEs were approved by the Government, (equivalent to 86.2% of the same period in 2017) with a total value of over VND40 trillion (US$1.72 billion), including over VND23 trillion (US$989 million) worth of State capital.

In the six-month period, total revenues from equitisation and disinvestment were estimated at over VND28 trillion (US$1.2 billion), including nearly VND22.5 trillion from equitisation and over VND5.6 trillion from disinvestment.

The accumulated revenues from equitisation and disinvestment of SOEs were posted at approximately VND198 trillion (US$8.51 billion), including VND30 trillion in 2016, VND140 trillion in 2017 and VND28 trillion in 2018.

However, the delegates said that the progress of SOE equitisation and divestment is too low compared to the set plan. As many as 135 SOEs had to carry out divestment in 2017 but only 17 SOEs completed their divestment and only 10 out of 181 SOEs finished divestment in 2018.

Deputy PM Hue asked the ministries, sectors, localities and SOEs to make every effort to accelerate the equitisation and divestment of SOEs in order to fulfil the targets approved by the Government, while removing any obstacles during the process of SOE equitisation.