Tag: state-owned enterprises

A provision that prohibits all State-owned enterprises from investing in real estate, with the exception of large-scale ones, awas deemed inconsistent with the Party’s policy on enhancing the operational efficiency of SOEs.

As of the end of 2024, Vietnam had 671 State-owned enterprises, with total asset value estimated at over VND5.6 quadrillion (over $216 billion).

Priority to be given to strategic breakthroughs and growth drivers.

The 19 groups and corporations under the Committee for Management of State Capital at Enterprises are major economic players.

A target has been set of there being at least 25 State-owned enterprises (SOEs) with equity or capitalization on the stock market in excess of $1 billion, of which ten are to have over $5 billion.

A number of problems relating to land management have presented difficulties for many businesses, especially State-owned enterprises (SOEs). To remove these difficulties, the Ho Chi Minh City Investment and Trade Promotion Center (ITPC), in cooperation with the city’s Department of Natural Resources and Environment, held a dialogue on August 9 between businesses, industry, and the government.

Prime Minister Pham Minh Chinh chaired a meeting on July 12 between the Government Standing Committee and the Standing Board of the Party Committee of the centrally-run Businesses’ Sector on restructuring and improving the operational efficiency of State-owned enterprises (SOEs). He emphasized that they must make important contributions to macro-economic stability and that the goal by 2025 is to basically complete the rearrangement and transformation of SOE ownership.

During the second quarter of this year, the Ministry of Labor, Invalids and Social Affairs is expected to submit to the government amendments to regulations on labor management, wages, and bonuses for managers and employees at State-owned enterprises (SOEs), according to market principles and associated with workplace productivity and production and business efficiency.

State-owned enterprises (SOEs) still face difficulties in doing business. The State Capital Investment Corporation (SCIC) has therefore made a number of recommendations to the government regarding solutions and policies to remove the obstacles, to improve the competitiveness and efficiency of SOEs in socio-economic development.

The Ministry of Planning and Investment (MPI) is developing a report on continuing to innovate and improve the performance of State-owned enterprises (SOEs) in socio-economic development. By the end of 2025, 100 per cent of State-owned economic groups and corporations are to meet modern standards on corporate governance and international practice, at least six groups and corporations are to have a scale and capacity on par with regional and international counterparts, and three centers for innovation ecosystem are to be founded.

In a report submitted to the ongoing National Assembly (NA) session, State Audit of Vietnam identified a series of violations in the management and use of State capital at 17 groups and corporations. Audited enterprises are profitable, the report noted, but their management and use of capital and assets exhibit many loopholes and are not in accordance with State regulations. The management and collection of debts at many enterprises are also poor. Some enterprises have invested in real estate and completed construction but been slow to sell their property products, reducing the efficiency of capital use.

According to a summary of audit results in 2020, although the 17 audited State-owned enterprises (SOEs) are profitable, the management and use of capital and assets exhibit violations and are not in accordance with State regulations. Management and debt collection remain quite weak at many. A number of real estate investment enterprises are yet to sell products from completed projects, which reduces the efficiency of capital use.