Six State–owned enterprises (SOEs) with a total State stake of VNĐ800 trillion (US$31.5 billion) will be transferred back to the Ministry of Industry and Trade (MoIT) after six years under the management of the Commission for the Management of State Capital at Enterprises (CMSC).

Bạch Hổ oil field of PVN. Six State – owned enterprises will be transferred back to the Ministry of Industry and Trade after six years under the management of the Commission for the Management of State Capital at Enterprises. — VNA/VNS Photo Huy Hùng

MoIT announced that Vietnam Oil and Gas Group (PVN), Vietnam Electricity (EVN), Vietnam National Petroleum Group (Petrolimex), Vietnam National Chemical Group (Vinachem), Vietnam Coal and Mineral Industries Group (TKV) and Vietnam National Tobacco Corporation (Vinataba) will once again be run by the ministry. The six firms altogether make up 70 per cent of the total State capital at 19 SOEs that are currently under CMSC’s management.

Previously, these six SOEs were under the management of MoIT, but have been run by CMSC since November 2018.

CMSC in a recent report said that these SOEs will be transferred to the MoIT as they currently are, including with the function of representing State ownership at enterprises. CMSC continues to exercise the rights and responsibilities as a representative of State ownership at the existing 19 SOEs until the transfer is completed.

CMSC is a Government agency founded in February 2018 responsible for managing State capital at enterprises where the State holds 100 per cent of the equity or in joint stock and limited liability companies with State investment.

The total equity of SOEs which are now under CMSC is estimated at VNĐ1.18 quadrillion, up 11 per cent after five years. These companies hold total assets of VNĐ2.54 quadrillion, or 65 per cent of all SOEs in Việt Nam.

CMSC is transferring the management of 19 SOEs back to relevant ministries before ending its operations.

The transfer of SOEs back to relevant ministries aims to create more favourable conditions for the enterprises. — VNS

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