15:19 | 21/01/2019 Finance - Banking
(VEN) - The Ministry of Finance has introduced nine key measures designed to facilitate and accelerate the equitization of state-owned enterprises (SOEs) from now to 2020, given that plans to equitize as many as 85 firms in 2018 have failed to materialize.
According to the Ministry of Finance, in the first 11 months of 2018, authorities approved equitization plans for 11 state enterprises and one state administrative unit, which total almost VND29.75 trillion in capital. In 2018, the state sold its holdings in state enterprises, administrative units, economic groups and state corporations, totaling nearly VND5.07 trillion in face value, to earn revenues of almost VND10.5 trillion.
However, verification of enterprise restructuring and equitization plans remains tardy. A report received by the Ministry of Finance shows that in the first 11 months of 2018, only 35 of 526 SOEs that applied for equitization had their plans approved by the competent authorities.
A representative of the Ministry of Finance says the ministry has introduced nine measures to facilitate SOE equitization and restructuring from now to 2020.
The first is to reconfirm publicly SOE restructuring and equitization targets;
The second solution is to improve the legal framework on SOEs restructuring promptly;
The third measure is to approve SOE restructuring plans in accordance with Prime Ministerial Decision 707/QD-TTg before December 31, 2018;
The fourth is for managers, heads of ministries, sectors and localities to strictly implement SOE classification and equitization in accordance with approved plans;
The fifth solution is that would-be-equitized SOEs review all land areas they use and manage in order to prepare land use plans according to law and to serve enterprise evaluation;
The sixth solution is for state capital representatives to urge equitized enterprises to register securities listing and transaction according to law;
The seventh solution is that members councils, chairmen, board of directors of economic groups, corporations and SOEs build and realize SOE restructuring plans;
The eighth measure is to strengthen inspection, supervision and auditing to prevent state capital and asset losses upon equitization; to supplement contents of inspection, inspect enterprise managers’ observance of administrative disciplines upon equitization; and to inspect enterprises that delay transferring holdings into joint stock companies.
The ninth solution is to disseminate public information on equitization.