Replacing business leaders to implement equitization of state-owned enterprises has no results

Ministers, Chairmen of People's Committees of provinces and centrally run cities, Chairmen of Boards of Members of economic groups are responsible to the Prime Minister for the results of restructuring and equitization of SOEs under their responsibility. Resolutely replace and transfer leaders of enterprises that are hesitant, do not seriously implement, or do not effectively implement restructuring and equitization of SOEs and the tasks assigned by the owners in managing and operating enterprises.

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Under the direction of the Prime Minister, ministries, branches, localities and SOEs need to seriously and resolutely implement synchronous solutions to create strong changes and achieve clear results in implementing the SOE restructuring project, focusing on equitizing 432 enterprises according to the approved plan.

Decide to convert all enterprises subject to equitization into joint stock companies. Enterprises with conditions shall conduct initial public offerings (IPOs) according to current regulations. Enterprises that are not yet eligible for immediate IPOs shall convert into joint stock companies with shareholders being the State, the State Capital Investment Corporation, trade unions, employees, strategic shareholders (if any) or other voluntary shareholders in order to change the legal form of enterprises, diversify ownership, contribute to democratizing business, and create goods ready for the market.

The Ministry of Finance and the Steering Committee for Enterprise Innovation and Development direct, urge, and guide; coordinate with ministries, branches, and localities to handle difficulties and obstacles, with a suitable, strict, and feasible roadmap so that the sectoral management ministries and localities can submit to the Prime Minister for approval all plans for equitization of state-owned corporations. Sectoral management ministries and localities proactively direct the development and approval of equitization plans for enterprises under their authority for implementation.

The Prime Minister authorizes ministries, branches and localities to decide on adjusting the charter capital structure of affiliated state-owned corporations when the initial share sale results have not reached the level approved by the Prime Minister in order to soon convert these enterprises into joint stock companies.

Replacing business leaders to implement equitization of state-owned enterprises has no results

The announcement emphasizes, clearly defines and promotes the responsibilities of ministries, branches, localities, enterprises, leaders, and Party committees, creating determination, unity, responsibility, and discipline. Ministers of ministries in charge of sectors, Chairmen of People's Committees of provinces and centrally run cities, and Chairmen of the Board of Members of economic groups are administratively responsible to the Prime Minister for the results of restructuring and equitization of state-owned enterprises under their responsibility.

Resolutely replace and transfer business leaders who hesitate, do not seriously implement, or ineffectively implement restructuring and equitization of state-owned enterprises and tasks assigned by owners in managing and operating enterprises.

Along with the process of restructuring and equitization of enterprises, leaders of economic groups and state-owned corporations need to focus on improving corporate governance and publicly and transparently reporting the results of their operations according to regulations.

Issue Resolution on divestment of non-core investments

The Government issued a Resolution on divestment of capital invested outside the core business lines and state capital in equitized enterprises where the State does not need to hold controlling shares or does not hold shares. Specifically identify which types of capital need to be divested immediately and which types of capital need to be divested according to a roadmap to be effective.

The sector management ministry directs the divestment of non-sector investments, possibly transferring the State Capital Investment Corporation (purchase or transfer as is).

For divestment of capital at financial investment companies, commercial banks of economic groups and state-owned corporations, state-owned commercial banks can be assigned to buy back or the State Bank of Vietnam can be transferred to act as the owner's representative.

According to chinhphu.vn