An automobile assembly factory (Photo: VNA)
Hanoi (VNA) – The Transport Ministry has surpassed the equitisation target assigned by the government, Deputy Prime Minister Vu Van Ninh said during the ministry’s conference on December 9 reviewing the 2011-2015 reshuffle of State-owned enterprises (SOEs).

Following the equitisation, most SOEs have performed better with increased asset value, ownership’s capital, revenue and workers’ salary, he said.

As the challenges remain ahead, he suggested the Ministries of Finance, Planning and Investment issue special mechanisms for specific cases to untie the knots.

From 2011-2015, 137 businesses in the transport sector went public, 67 more than the target, according to the Deputy Transport Minister Nguyen Hong Truong.

As of the end of this year, the number of firms having completed IPO (initial public offering) will reach 124, including 12 corporations, paying more than 1.7 trillion VND (77.2 million USD) into the fund supporting rearrangement of SOEs of the State Capital Investment Corporation.

During the period, the ministry withdrew around 4.4 trillion VND (200 million USD) of State capital from 113 SOEs, including seven parent companies and 106 affiliates.

The ministry plans to complete the divestment of all State capital from corporations during the first quarter of 2016.

Deputy Minister Truong also pointed out existing obstacles to the restructuring of SOEs, including the lack of a relevant legal framework, overlapping State management, among others.

He also noted the need to reform the operation of political and social organisations such as Party organisations and trade unions in equitised enterprises to suit the new situation.-VNA