Officially dissolving the super committee, which once managed state capital of more than 1.18 million billion VND

Transferring enterprises under the State Capital Management Committee to the Ministry of Finance - Photo: VGP

Accordingly, the Government assigned the Ministry of Home Affairs to review and propose the abolition of Decree No. 131 dated September 29, 2018 of the Government regulating the functions, tasks, powers and organizational structure of the State Capital Management Committee at enterprises in accordance with the provisions of law.

The committee model is still administrative.

Previously, on February 3, 2018, the Government issued Resolution 09 on the establishment of the State Capital Management Committee at Enterprises and Decree 131 stipulating the functions, tasks, powers and organizational structure of the State Capital Management Committee at Enterprises.

The State Capital Management Committee at Enterprises performs the function of representing the owner of state capital, creating conditions for state administrative management agencies to improve the effectiveness of state management and the quality of state enterprise governance, contributing to perfecting the socialist-oriented market economic institution.

During its years of operation, the State Capital Management Committee at Enterprises has basically fully performed its functions and tasks of representing the state capital owner at 19 corporations and general companies for which the State Capital Management Committee at Enterprises represents the state capital owner.

Business results at enterprises managed by the State Capital Management Committee at Enterprises grew well, the total value of state capital was preserved and developed.

However, during the operation of the State Capital Management Committee at Enterprises, there are still some limitations that make the State Capital Management Committee at Enterprises operate in an administrative manner, failing to achieve the goals and expectations when it was established.

Transfer to the Ministry of Finance and the Ministry of Public Security

Accordingly, Resolution No. 18 of the Central Executive Committee on restructuring and streamlining the apparatus has proposed to end the operation and transfer the functions and tasks of the State Capital Management Committee at enterprises to the Ministry of Finance, specialized ministries and relevant agencies.

Before being dissolved, this Committee managed 19 state-owned corporations, which ceased operations on March 1. After that, 18 corporations and general corporations managed by the Committee for Management of State Capital at Enterprises were transferred to the Ministry of Finance.

Of these, 11 are enterprises in which the State holds 100% of the charter capital and 7 are state-owned joint stock companies.

According to the report, 19 corporations and general companies under the Committee before being transferred to the Ministry of Finance and the Ministry of Public Security had a total equity capital of about 1.18 quadrillion VND, an increase of 11% after 5 years. The total assets held by these companies were about 2.54 quadrillion VND, equal to 65% of the total assets of state-owned enterprises nationwide.

The corporations under the management of the Ministry of Finance include: Vietnam Oil and Gas Group (PVN); Vietnam Electricity (EVN); Vietnam Coal and Mineral Industries Group (TKV); Vietnam Chemicals (Vinahem); Vietnam Posts and Telecommunications (VNPT); Vietnam Petroleum Group (Petrolimex); Vietnam Rubber Industry Group (VRG).

There are also the following corporations: State Capital Investment Corporation (SCIC); Vietnam Tobacco Corporation (Vinataba); Vietnam Airlines Corporation (VNA); Vietnam Maritime Corporation (VIMC); Vietnam Railway Corporation (VNR); Vietnam Expressway Investment and Development Corporation (VEC); Vietnam Airports Corporation (ACV); Northern Food Corporation (Vinafood 1); Southern Food Corporation (Vinafood 2); Vietnam Forestry Corporation (Vinafor); Vietnam Coffee Corporation (Vinacafe).

MobiFone Telecommunications Corporation alone was transferred to the Ministry of Public Security.

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