Report on enterprise renewal, development released

The Government and the PM issued 69 Decrees, Decisions and Directives in the 2011-2015 period, including 21 documents on organization and management of the SOEs, 34 documents on arrangement, restructuring and capital withdrawal at enterprises and 14 articles on organization and operation of State economic corporations.

Ministries issued 15 Circulars on guiding the implementation of mechanisms and policies.

As many as 591 businesses were re-arranged, accounting for 96% of the plan, including the equitization of 499 SOEs  (making up 96.3%), merging and acquisition of 48 SOEs, dissolution of 17 ones and bankrupting eight ones.

Until now, the total number of re-organized enterprises was 6,010, including 4,508 equitized ones.

After 15 years of re-organizing, the number of SOEs sharply decreased, especially small-scale and weak ones. Around 6,000 SOEs operated in 60 sectors and areas in 2001. The figures reached 1,369 ones in 2011 and only remained 718 ones in 2016, focusing on 19 sectors.

Regarding the business sector, the proportion of the SOEs only accounts for 0.67% but they still contribute 28.8% to the GDP while the non-State and Foreign Direct Investment (FDI) sectors make up 11.8% and 17.9%, respectively.

The equitization of SOEs has gained positive achievements as the number of re-organized and equitized enterprises accounted for 96% and 96.3%, respectively, of the five-year plan.

In the phase from 2016-2020, the Government identifies that the businesses the State hold 100% of the capital will operate in key and necessary sectors, locate in crucial national defense and security areas and apply high technology with large investment and create impetus for the socio-economic development that are not invested by other economic sectors.

By Thuy Dung