SOE equitisation targets transparency

Le Trong Sang, head of the HCM City department of business renewal and management, underlined the need to intensify inspection and supervision in order to avoid losses of State capital and assets. 

Besides, it is necessary to set up mechanisms to control capital for merger & acquisition activities and attract strategic investors, he said. 

Huynh An Trung, Director of Cholimex Food JSC, listed a range of bottlenecks in SOE equitisation like unreasonable labour policies and businesses’ embarrassment in solving arising problems during the process.

Additionally, enterprises have faced difficulties in identifying their business advantages and assessing land use rights, he said. 

Other delegates highlighted major challenges regarding the hand-over of assets, especial property in joint ventures.  

The workshop heard that by the end of 2016, businesses in HCM City had divested a total of VND3.5 trillion (US$154 million). Ten SOEs are expected to divest capital this year.