Government announces state divestment plan for 2017 – 2020

22.08.2017

The Deputy Prime Minister Vuong Dinh Hue signed Decision 1232/QD-TTg regarding state divestment plan from 2017 to 2020. Accordingly, the Government will divest, either completely or partially, from 135 enterprises this year, 181 in 2018, 62 in 2019 and 28 in 2020. 

Of this list, there are 78 enterprises managed directly by the Ministries, including some notable ones in which The State will divest all or almost all its ownership such as Vinatex (a 53.5% stake will be divested), VNSteel (93.92%) and Viglacera (56%). On the other hand, the State will retain more than 50% ownership in Petrolimex (a 28.86% stake will be divested), ACV (30.4%), and Vietnam Airlines (35.2%). 

According to the Deputy Prime Minister, up to now, 96.5% of the state-owned enterprises have been equitized. However, divestments have accounted for a mere 8% of total State capital. The Government expects Decision 1232 to accelerate the divestment process. This will not only help to boost the operational efficiency of these enterprises via restructuring but also generate revenue for the State and in turn, reduce fiscal deficit.

Source: MoF

Photo: CBR Investment AG