A sitting of the National Assembly's 5th session (Photo: VNA) Hanoi (VNA) – The 14th National Assemblyadopted at its 5th session a resolution on continuing to improve andenforce policies and laws on the management and use of State capital and assetsin enterprises and during the equitisation of State-owned enterprises (SOEs).
The resolution underlined that SOEs have been restructuredtowards focusing on key industries and sectors of the economy, or on fields inwhich other economic sectors do not operate. SOEs continue to play an importantrole in the country’s socio-economic development, helping ensure the socialistdirection of the economy. The production and business of State-investedenterprises continue to maintain stable growth. The divestment of State capitalhas generally kept up with schedule.
The resolution also acknowledged positive outcomes in theequitisation of SOEs. After equitisation, most enterprises operate in a moretransparent manner with bigger scale, better production and business outcomes,and higher contribution to the State budget and workers’ income.
However, problems remain such as law violations in businessactivities, corporate governance, financial management and infringement of marketprinciples. The resolution also pointed out that a number of large-scaleinvestment projects were delayed, causing losses. The State-investedenterprises are slow in reforming governance model, and fail to attract strategicinvestors.
To address those problems and better implement policies andlaws on the management and use of State capital and assets in enterprises andduring equitisation of SOEs, the NA assigned the Government to perform a numberof key tasks and solutions.
By 2020, the Government must complete the settlement ofenterprises that violated the law or caused losses of State capital and assets;delayed or loss-making investment projects, the resolution said, stressing thatthe State budget should not be used to cover enterprises’ losses.
The Government is required to keep tight management andsupervision of SOEs’ mobilisation and use of capital, especially foreign loans,investment projects, and capital for business purchase, sale and merger. TheGovernment should limit to the minimum its guarantee for enterprises.
The NA resolution urged continued reform of mechanisms to affordSOEs real right in paying salary and bonus to workers based on productivity andbusiness and production efficiency.
The Government is also tasked with reviewing and assessingthe implementation of the goal on SOEs equitisation and State capitaldivestment, and working towards completing the goals in accordance with setroadmaps and legal regulations while ensuring market principles and mechanism.-VNA
