THE PRIME MINISTER

Decision No. 929/QD-TTg dated July 17, 2012 of the Prime Minister on approval of scheme "Restructuring of State-owned enterprises, focusing on economic groups and State-owned corporations period 2011 - 2015"

Pursuant to the Law on Organization of the Government dated December 12, 2001;

Pursuant to the Resolution of the 3rd Congress of the XIth Party Central Committee;

Pursuant to the Government’s Resolution No. 94/NQ-CP dated September 27, 2011 on the Government's regular session in September 2011; Resolution No. 01/NQ-CP dated January 03, 2012 of the Government on the key measures in directing the implementation of the plan of socio-economic development and the state budget estimate in 2012; The Government’s Resolution No. 12/NQ-CP dated May 09, 2012 of the on Government's regular session in April 2012;

At the proposal of the Minister of Finance and Head of the Steering Committee for Innovation and Enterprise Development,

DECIDES:

Article 1. Approving scheme "Restructuring of State enterprises, focusing on economic groups and State-owned corporations period 2011 - 2015" with the following contents:

I. OBJECTIVES

Restructuring of state enterprises, focusing on economic groups and state-owned corporations in order to achieve the following objectives:

- State-owned enterprises have a more reasonable structure, concentrating on key sectors and areas, providing products, essential public services for society, security and national defense, being the hub for the state economy to perform the leading role and the important material force for the State to orient and regulate the economy and stabilize the macro-economic.

- Improving competitiveness, the rate of return on equity for enterprises; completing the task of production and providing products, essential public services for society, security and national defense for public utility enterprises.

II. TASKS

1. Classifying enterprises with 100% state capital in the following groups:

a) Group 1: State-owned enterprise holding 100% charter capital in State exclusive areas, security and national defense; publication; irrigation; ensuring traffic safety; lottery; power production and distribution with multi-purpose large scale having special significance on society and economy attached to national defense and security; managing and operating the urban and national rail infrastructure system; airports; sea ports of type I; printing and minting money.

b) Group 2: Equitized enterprises whose charter capital is held over 50% by the State operate in sectors as stipulated in Decision No. 14/2011/QD-TTg dated March 4, 2011 of the Prime Minister Government on promulgating criteria, classification list of state-owned enterprises specifically as follows:

- The State holds over 75% charter capital upon equitization of economic groups, corporations, large size state-owned enterprises operating in the areas of mining and processing of natural resources and minerals and supply of communication network infrastructure

- The State holds from 65% to 75% charter capital upon equitization of large size enterprises operating in area of basic chemical production, chemical fertilizer, wholesaling of foodstuff, preventive and curative medicine, pharmaceuticals; finance, credit, insurance, water supply and drainage, environmental hygiene and lighting in large urban centers; production and storage of plant and animal varieties, production of preventive vaccine; management and maintenance of domestic roadway and waterway; management and operating seaports, large-scale power production; railway and aviation transportation.

In addition to the above-mentioned enterprises, the other enterprises upon equitization, based on the specific situation and market capacity, the State shall hold from over 50% to less than 65% charter capital or no shares.

c) Group 3: The State-owned enterprises extend loss without remedial capacity shall sell or transfer enterprise; restructure their debts to be transformed into joint-stock companies, multi-member limited liability companies; dissolved or broken.

2. Complying with market rules the state divestment of state capital invested in the sectors which are not the main business or not directly related to the sector of main business; state capital in joint stock companies the State does not need to control.

3. Restructuring enterprises by sectors irrespective of management level and agency. In the short term, in the areas of construction, commerce, telecommunication, publication, lottery, water supply and drainage, urban environment, irrigation, management and repair of roadway, railway and waterway

4. Restructuring group and state corporations comprehensively from organizational model, management, human resources, production and business lines, strategic development, investment to market and production. Reorganizing a number of economic groups and state-owned corporations to be in line with the actual situation and mission requirements.

Click download to view full text