Restructuring State-owned enterprises (SOEs) with a focus on groups and corporations is a priority of the Vietnamese Government in 2013, with the hope of directing the capital flow on the right track and improving the sector’s performance.
By the end of 2012, 75 groups and corporations completed their restructuring projects, 45 of which received approval from authorities. Dang Quyet Tien, deputy director of the Corporate Finance Agency under the Ministry of Finance, said restructuring helps establish strong economic groups, enabling them to invest in highly profitable sectors and bring large revenue for the State. Up to now, State-owned enterprises which have their restructuring projects approved are ready to implement them as scheduled. The National Power Transmission Corporation under the Electricity of Vietnam (EVN) will reorganise its system and reform business administration to increase the effectiveness of power transmission and reduce the power loss to 8 percent. Nguyen Duc Cuong, a corporation official, said this year the corporation will seek foreign investment and increase the application of science and technology in operation and management. Restructuring SOEs is a right and inevitable policy. It is also an urgent task to bring about an effective and positive change for businesses and help them raise their competitiveness in the increasingly deep and broad international integration. To make the strategy effective, measures need to be carried out, including issuing a mechanism to monitor and evaluate SOE operations.