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Official Gazette

Friday, May 29, 2020

Government to slash wholly state-owned enterprises by four times

Updated: 16:58’ - 27/10/2016
The number of enterprises wholly owned by the State will be cut from 718 to 190 during the 2016-20 period, according to the Steering Committee for Renovation and Development of State Enterprises.

Sausage production at Vissan, a state owned enterprise under Saigon Trading Corporation__Photo: SGGP
This number includes 63 lottery companies, 13 publishing houses and 87 irrigation companies, said Nguyen Trong Dung, Deputy Head of the Committee, in a conference on state capital withdrawal in Ho Chi Minh City on October 25.

Dung said the Government considered state enterprise equitization key to economic restructuring. The State will now push up equitization and reduce the number of sectors in which it wholly holds charter capital to 12 from 19 at present.

These sectors are topography for defense and security; production and trading of industrial explosive materials; transmission and moderation of national electrical system and management of electrical grids, multi-purposed hydropower and nuclear electricity of socio-economic significance; management of national and urban railway infrastructure systems; air traffic, aviation communication and search and rescue services; maritime security; public-utility postal services; lottery trade; publication; money printing and gold bar making; management and exploitation of irrigation works; and credit serving socio-economic development.

By 2020, the State will also hold 65% of the charter capital of only four enterprises operating in management and exploitation of airports and airfields; air meteorological services; large-scaled mining; oil and gas prospecting, exploration and exploitation; and finance and banking.

In addition, the State will hold 50-65% and less than 50% of the charter capital of 30 and 109 enterprises, respectively.- (VLLF)

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