Deputy Minister of Finance Huynh Quang Hai has called for continuing to review existing policies to promptly identify difficulties in the equitisation of and divestment from State-owned enterprises (SOEs), stepping up enterprise renovation and raising a sense of responsibility in State management of the field.

Deputy Minister of Finance Huynh Quang Hai has called for continuing to review existing
policies to promptly identify difficulties in the equitisation of and divestment from
State-owned enterprises.

He said the issuance of Decree No 150/2020/ND-CP on the transformation of public non-business units into joint stock companies will serve as an important legal foundation for the years to come.

According to the Finance Ministry’s Department of Corporate Finance, equitisation and divestment has remained slow, with several targets from the 2016-2020 period yet to be met. Some 178 firms have had their equitisation plans approved, with a total value of over VND443.5 trillion (US$19.28 billion).

In 2020 alone, 91 businesses were yet to fulfil equitisation.

The department attributed the tardiness to the issuance of several mechanisms and policies that lead to more time being needed to approve land use plans, as well as less attention being paid to the endeavour.