Quality should be prioritised in SOE restructuring, expert says

The restructuring and equitisation of State-owned enterprises (SOEs) should focus on quality instead of quantity, and the State’s investments need to be restructured to become more effective, an expert has said.

quality should be prioritised in soe restructuring, expert says hinh 0
Quy Nhon Port, located in Binh Dinh province, is owned by the State and subject to equitisation

The remark was made by Director of the Central Institute for Economic Management (CIEM) Nguyen Dinh Cung at a conference on the reform and improvement of SOEs on November 21.

At this event, Deputy Prime Minister Vuong Dinh Hue emphasised the viewpoint that SOEs should focus only on key fields like defence and security as well as areas that the private sector does not invest in, and that the State only divests its capital from firms with effective operation.

He noted that the equitised and divested value between 2016 and 2018 rose 2.5-fold from the 2011-2015 period, adding that operations of SOEs have continued to improve. 

Their total assets have increased by 3%, pre-tax profit up 4 percent, and contributions to the State budget up 5% from 2016. In the first eight months of 2018, SOEs fulfilled over 70% of this year’s revenue and profit targets, Hue said.

CIEM Director Cung said SOEs are still an irreplaceable economic force for the time ahead.

“At present, we solely focus on equitisation and divestment because we hope that businesses will change their administration and operate in line with the market,” he noted.

Pointing out problems in the equitisation and divestment process, Minister of Finance Dinh Tien Dung said that according to the Prime Minister-approved plan, at least 85 SOEs must have their equitisations completed in 2018. However, only 12 firms had been equitised as of November 18, so the target is unlikely to be reached this year.

Meanwhile, State capital must be divested from 181 enterprises in 2018, but the work has only been completed in 31 firms so far.

He said that in order to step up the reform and improvement of SOEs, ministries, sectors, localities, as well as SOEs themselves must be synchronous in adapting careful measures, including promoting consensus in the work and promptly fine-tuning the relevant legal system.

Dung also asked the parties concerned to submit restructuring plans for the SOEs under their remit to authorised agencies for approval before the end of this year. Additionally, heads of ministries, sectors, and localities must be responsible for the outcomes of SOEs’ restructuring, reform, and improvement. 

VNA

Other News

SBV raises short-term capital lending cap to 40%

SBV raises short-term capital lending cap to 40%

The new circular will help credit institutions have more room to provide capital to businesses and investment projects to support high economic growth in the next few years, while increasing flexibility in the SBV’s monetary policy management.

Business confidence in Vietnam rebounds strongly: UOB

Business confidence in Vietnam rebounds strongly: UOB

The study found that 85% of Vietnamese enterprises reported positive business sentiment, a sharp increase from 48% in 2025, when business confidence was weighed down by uncertainties surrounding US tariff policies and related trade developments.

Bac Ninh seeks high-quality foreign investment for sustainable growth

Bac Ninh seeks high-quality foreign investment for sustainable growth

According to Vice Chairman of the provincial People’s Committee Pham Van Thinh, the province aims to maintain stable and sustainable growth, improve the competitiveness of both the economy and local businesses, and make better use of free trade agreements (FTAs) to expand and diversify export markets.

Green building trend flourishes in Ho Chi Minh City's real estate landscape

Green building trend flourishes in Ho Chi Minh City's real estate landscape

The International Finance Corporation (IFC) highlighted the city's dominance in green-certified building floor space in Vietnam, reflecting the rapid expansion of the green building market with 780 completed green buildings encompassing over 18.69 million sq.m by 2025, predominantly certified by EDGE and LEED.

UK supports Vietnam in wind power and green finance development

UK supports Vietnam in wind power and green finance development

The United Kingdom officially announced two new climate cooperation initiatives to support Vietnam in its energy transition and green growth journey. These programs focus on offshore wind power development and the creation of a sustainable green financial ecosystem.

Ample room remains for Vietnam–India logistics cooperation

Ample room remains for Vietnam–India logistics cooperation

The GTTCI expert noted that alongside logistics and integrated warehousing, e-commerce is expected to be a particularly high-growth sector in the coming years. He described it as a multi-billion-dollar market with significant untapped opportunities for cooperation between Vietnam and India.

Exports gain momentum from high-tech growth drivers

Exports gain momentum from high-tech growth drivers

According to the Ministry of Industry and Trade, Vietnam’s exports reached 215.66 billion USD in the first five months of 2026, up 19.5% year-on-year. Twenty-six export items generated more than 1 billion USD in revenue each, including seven with turnover exceeding 10 billion USD.

Vietnam–China crossings see spike in ASEAN fresh produce

Vietnam–China crossings see spike in ASEAN fresh produce

Since the start of the summer harvest season, China's two major border gates with Vietnam, Youyi Guan in Pingxiang and Beilun 2 Bridge in Dongxing, have entered their peak period for handling imports of fresh agricultural and seafood products from member states of the Association of Southeast Asian Nations (ASEAN).

Cargo handling operations at Berths 3 and 4 of the Hai Phong International Gateway Port. (Photo: VNA)

AI reshapes logistics, raising bar for workforce skills

According to the Vietnam Logistics Business Association (VLA), the logistics sector will require around 2.2 million workers by 2030, including 1.6 million employees for logistics service providers and nearly 600,000 personnel supporting logistics operations in manufacturing and trading enterprises.

Robust dispute resolution framework key to Vietnam's IFC ambitions

Robust dispute resolution framework key to Vietnam's IFC ambitions

The development strategy for VIFC-HCMC envisions a comprehensive financial ecosystem encompassing green finance, carbon credits, financial technology (fintech), blockchain technology, digital assets, digital banking and other innovative business models. These highly internationalised sectors involve complex cross-border transactions and sophisticated legal structures.