109 state-owned enterprises completes equitisation

Thien Thanh Sanitaryware joint company

109 state-owned enterprises completes equitisation

A total of 109 state-owned enterprises (SOEs) have completed equitisation as of the end of September, said Pham Tuan Anh, Deputy Director of the Enterprises Renovation Department under the Government Office at the Vietnam-Japan Economic Forum held on October 14. The set target is to equitise 289 SOEs this year, which means 180 more should complete the process by the year’s end.

Anh highlighted that by the end of this year, some big corporations will be among those to be equitised such as telecom service provider Mobifone, power generating firms under the Electricity of Vietnam (EVN) and PetroVietnam Power Corporation under the National Oil and Gas Group.

As of September 28, total State capital divestment was estimated at nearly 8.7 trillion VND (388.5 million USD), of which 2.69 trillion VND (120.1 million USD) was divested from real estate sector and 1.36 trillion VND (60.7 million USD) from insurance, security and finance-banking sectors.

The official said at the current progress, the plans on SOEs equitisation and State capital divestment will be fulfilled.

At the forum, Sakakibara Takashi, director of the Japan International Cooperation Agency (JICA)’s SOEs project in Vietnam, recommended making adjustments to share selling methods to make it easier for investors to access.

He added that priority should be given to enterprises with stellar business performance rather than trying to sell businesses which are not attractive enough to investors.