It is necessary to add charter capital for VEC to develop sustainably.

The Government proposed that the National Assembly approve the investment policy to supplement the charter capital for the parent company - VEC in the 2024-2026 period of VND 38,251 billion.

Afternoon session of the National Assembly Standing Committee on February 10.

On the afternoon of February 10, the National Assembly Standing Committee gave its opinion on the plan to invest in additional charter capital for the 2024-2026 period of the parent company - Vietnam Expressway Corporation (VEC).

Presenting this content, Minister of Finance Nguyen Van Thang said that currently, the charter capital of the parent company - VEC is very low (1,115 billion VND) compared to the investment scale (about 108,865 billion VND), so VEC is facing difficulties in mobilizing capital sources to invest in expressway projects, ensuring the completion of the 5-year production, business and investment development plan for the period 2021 - 2025,

Development strategy to 2030, vision to 2035 (investment capital demand for the period 2021-2025 is 14,890 billion VND, the period 2026-2030 is 17,053 billion VND), especially for capital sources with low capital costs such as commercial loans, issuance of project bonds. On the other hand, recording the capital contribution of the State owner through the value of assets formed from investment activities, enhancing the effectiveness of state investment capital, creating conditions for VEC to develop sustainably; strengthening financial capacity, ensuring the implementation of commitments to customers and financial partners, improving access to credit, ensuring the basis for depreciation and accounting for assets such as expressways, promoting the core/leading role in investment/management, exploitation and operation of expressways.

Thus, the investment in additional charter capital for the parent company - VEC is necessary and urgent, in accordance with the policies/tasks assigned by the Central Party, National Assembly, and Government, Mr. Thang reported.

In the submission, the Government proposed that the National Assembly allow the use of public investment capital that has been assigned to the Ministry of Transport to invest in the project with an amount of VND 36,689 billion, of which VND 10,062 billion is counterpart capital from the state budget, VND 24,127 billion is ODA capital in projects implemented in the form of converting loan capital for re-lending into state budget allocation, VND 2,500 billion is state budget allocation capital for the Noi Bai - Lao Cai and Cau Gie - Ninh Binh projects, to convert into charter capital for the parent company - VEC.

The Government also proposed that the National Assembly approve the investment policy to supplement the charter capital for the parent company - VEC in the period of 2024-2026, which is VND 38,251 billion, including VND 1,562 billion from the Enterprise Development Investment Fund and VND 36,689 billion from the state budget (public investment capital has been assigned to the Ministry of Transport to invest in 5 expressway projects invested by VEC and has been disbursed).

After preliminary examination, the Standing Committee of the National Assembly's Finance and Budget Committee agreed with the necessity of investing additional charter capital for the parent company - VEC.

However, to ensure adequate political and legal basis for submission to the National Assembly for consideration and decision on the policy of increasing charter capital for the parent company - VEC from loan capital for re-lending, Government guarantee to state budget allocation, this content needs to be reported and approved by competent authorities in principle, reported Chairman Le Quang Manh.

The Standing Committee of the Appraisal Committee recommended that the National Assembly Standing Committee propose that the Government report to the competent authority on the investment plan to supplement the charter capital for the period 2024-2026 (VND 38,251 billion) for the parent company - VEC, including the use of VND 36,689 billion from the state budget that has been disbursed to invest in the construction of 5 expressway projects to increase the charter capital for the parent company - VEC.

Based on the consent of the competent authority, the Government urgently completes the additional documents to submit to the National Assembly for consideration and decision on the policy of increasing charter capital for the parent company - VEC at the 9th Extraordinary Session (February 2025).

After the National Assembly Standing Committee discussed, Vice Chairman of the National Assembly Nguyen Duc Hai stated that it is necessary to supplement charter capital to create conditions for VEC to develop sustainably. Mr. Hai requested the Government to urgently seek opinions from competent authorities to complete the dossier to submit to the National Assembly.

Source: https://baodautu.vn/can-thiet-bo-sung-von-dieu-le-de-vec-phat-trien-ben-vung-d245228.html