Deputy PM reviews SOEs equitisation, restructuring

10:00 | 10/07/2019 Finance - Banking

Deputy PM Vuong Dinh Hue chaired a meeting of the Steering Committee for Business Renovation and Development in Hanoi on July 8 to review equitisation, divestment and restructuring of State-owned enterprises (SOEs).

Deputy PM Vuong Dinh Hue - Photo: VGP

The committee reported that it collected over VND5.5 trillion (US$240 million) in revenue from SOEs equitisation and divestment in January – June.

Since 2016, as many as 162 SOEs have been equitised with a total value of over VND205 trillion, or 108 percent recorded during 2011-2015.

Revenue from initial public offerings topped VND24.8 trillion.

However, the progress of SOEs equitisation and divestment remains slow due to the lack of drastic directions by ministries, agencies and localities, delay in calculation of corporate value and land use approval.

Representatives from several groups and corporations said they meet difficulties in trademark pricing, and issues regarding intellectual property right, cultural and historical values when it comes to calculating starting price upon divestment.

Hue, who is also head of the committee, requested ensuring transparency and safety for the issuance of corporate bonds.

He asked the Finance Ministry and the State Bank to review the situation and submit a corporate bond issuance plan to the government for consideration, which must detail quota, criteria and credit rankings for the process.

The Deputy PM urged ministries and agencies to review relevant legal documents to promptly clear obstacles.

Theo NDO/VNA