Continue to divest state capital from public utility enterprises in Nghe An

The 5 companies include: Nghe An Urban Environment and Construction Joint Stock Company, Nghe An Bridge and Road Construction and Management Joint Stock Company, Nghe An Waterway and Road Transport Construction and Management Joint Stock Company, Nghe An Newspaper Printing Joint Stock Company and Vinh City Green Parks Joint Stock Company.

According to plan, divestment must be completed by the end of 2025.

Mr. Vo Dinh Toan - Deputy Head of Finance and Enterprise Development Department, Department of Finance said: Currently, the authorities have determined the starting price and are developing a plan to divest capital from Nghe An Bridge and Road Construction and Management Joint Stock Company, Nghe An Waterway and Road Transport Construction and Management Joint Stock Company.

For Nghe An Urban Environment and Construction Joint Stock Company and Vinh City Green Park Joint Stock Company, the two units have completed the audit of financial statements and are determining the starting price for capital divestment. According to Decision 1479 of 2022 of the Prime Minister: Nghe An Urban Environment and Construction Joint Stock Company divests State capital from 80.8% to 51%, Vinh City Green Park Joint Stock Company divests all State capital.

Meanwhile, Nghe An Newspaper Printing Joint Stock Company is still facing difficulties in allocating funds to the agency authorized by the Provincial People's Committee to pay the consulting unit, leading to the inability to continue to divest as planned.

Regarding the conversion of public service units into joint stock companies, from 2022, the People's Committee of Nghe An province has approved the adjustment of the time to determine the value of Nghe An Road Motor Vehicle Testing Center and Cua Lo Urban Management Board to convert into joint stock companies from 0:00 on January 1, 2025.

Currently, these units are implementing the next steps in the conversion process, including: Auditing financial statements; Submitting to competent authorities for approval of land use plans; Developing a plan to select a conversion consulting contractor; Selecting a consulting unit to implement the conversion.

Regarding Nghe An Infrastructure Development Construction Investment Company Limited, the Provincial People's Committee has assigned the Southeast Economic Zone Management Board to preside over and coordinate with relevant agencies to hand over Nam Cam Industrial Park infrastructure assets to Nghe An Infrastructure Development Construction Investment Company Limited. After completing the handover process, the Department of Finance will advise the Provincial People's Committee on the equitization plan of this company.

Although many important results have been achieved in the process of equitization, divestment and conversion of public service units, this process still has some difficulties that need to be resolved, especially regarding the funding source for divestment at Nghe An Newspaper Printing Joint Stock Company and the handover of assets at Nghe An Infrastructure Development Construction Investment Company Limited.

Recently, Deputy Prime Minister Ho Duc Phoc also requested ministries and branches to review and carefully evaluate the actual implementation of equitization according to Resolution 12-NQ/TW; study, amend, supplement and perfect legal provisions, especially the Law on Management and Use of State Capital Invested in Production and Business at Enterprises (Law 69) with a spirit of innovation. It is required that in the first quarter of 2025, the approval of the restructuring project of State-owned enterprises must be completed.