The equitisation of State-owned businesses from 2016-2019 fell behind schedule, putting heavier pressure on this year, according to the Ministry of Finance.

Illustrative image (Source: VNA)

From 2016 to March 2020, 174 enterprises received approval for their equitisation plans. Those enterprises have total value of over VND443.1 trillion (US$18.9 billion), nearly half of which is state capital.

A further 92 businesses need to be equitised by the end of 2020, but none were able to do so in March.

Regarding divestment, VND397 billion (US$16.9 million) worth of State stake was sold in March, bringing in VND772 billion (US$32.9 million) for the State coffer in the first three months of this year.

The finance ministry said a large number of businesses need to implement equitisation and divestment in 2020.

Besides, the impact of COVID-19 has made the stock market decline and delayed business production, seriously affecting the domestic and global economies.

To realize the target for 2016-2020, the ministry suggested improvements to institutional and legal frameworks on the management and operation of State enterprises.