Prime Minister State owned enterprises continue to lead pave the way and pioneer in innovation


The Government Standing Conference met in early spring with typical SOEs nationwide. Photo: VGP
The Government Standing Conference met in early spring with typical SOEs nationwide. Photo: VGP

Enterprises are a breakthrough factor in the economy

On March 3, in Hanoi, the Standing Government held a spring meeting of typical SOEs nationwide.

Minister of Planning and Investment Nguyen Chi Dung commented that SOEs are increasingly demonstrating their leading, dominant and leading role in important and essential industries and fields of the economy. However, some limitations still appear such as not fully promoting the effectiveness of resources, capital, and assets assigned by the State; Some SOEs still operate at a loss; Competitive capacity, application of science and technology, innovation, and digital transformation are still limited…

Minister Nguyen Chi Dung said that, besides the subjective reasons, the objective reasons are that some problems in policy mechanisms have not been promptly resolved; related legal regulations on corporate governance, capital and asset management, land, auctions, bidding… are not synchronized. Current laws on state-owned enterprises in general are not truly decentralized and do not give autonomy to businesses to proactively decide on investment and business activities…

Also appreciating the role of SOEs in economic development, Minister of Finance Ho Duc Phoc also highlighted the responsibility of the SOE sector in ensuring job security and making great contributions to the state budget.

“In the 2023 financial budget report, we have 676 SOEs, including 19 corporations and corporations that have paid 261 trillion VND in taxes, accounting for 17% of domestic taxes. In the first 2 months of the year alone, 36,894 billion VND was paid. In recent years, SOEs have been more sustainable in business fields and have less tax debt. Currently, SOEs’ tax debt is 17,032 billion VND, while businesses in other fields are about 150 trillion VND,” the Minister of Finance emphasized.

Minister of Finance Ho Duc Phoc commented that the SOE sector is more sustainable in all business fields. Photo: VGP
Minister of Finance Ho Duc Phoc commented that the SOE sector is more sustainable in all business fields. Photo: VGP

Contributing to support the development of SOEs, leaders of the Ministry of Finance said that SOEs need to develop markets, have good products and be competitive; As well as moving towards a green economy and circular economy, SOEs need to calculate and, if there is a lack of mechanism, submit it to the Government and National Assembly for resolution, so that they can develop strongly and sustainably.

“The core of the economy is businesses, which both play a supporting role and are also a breakthrough factor in the economy,” Minister Ho Duc Phoc stated.

Also on this issue, Minister of Industry and Trade Nguyen Hong Dien said that SOEs need to focus on restructuring; promote digital transformation and green transformation; Seek opportunities and have strategies to mobilize social resources, including domestic and foreign resources according to the formula “1 home capital – 4 human capital” to have conditions for development…

In addition, at the meeting, representatives of a number of SOEs, corporations, corporations, and banks raised many recommendations to support businesses’ development, such as focusing on removing shortcomings in mechanisms, policy; innovate the capital management mechanism invested in SOEs; Soon complete the construction of the Law amending the Law on Management and Use of State Capital in Production and Business at Enterprises (Law 69) in the direction of having solutions for state-owned enterprises to proactively develop in a competitive environment associated with enterprises with responsibilities and effective inspection and supervision mechanisms; Promote decentralization and decentralization…

Continue to lead and promote the role of paving the way

Speaking at the meeting, Prime Minister Pham Minh Chinh affirmed that the Government is always beside SOEs, FDI enterprises and domestic private enterprises.

Therefore, the Prime Minister requires SOEs to creatively apply the State’s guidelines, guidelines, policies and laws, based on functions, tasks, powers, responsibilities, patriotism, national pride and perseverance in overcoming difficulties and challenges. The Prime Minister stated clearly that the state economy plays a leading role, so the mission of SOEs is to promote its pioneering, leading, exemplary role, worthy of the trust of the Party, State and people.

The Prime Minister requested to continue promoting the pioneering and leading role of SOEs in the economy. Photo: VGP
The Prime Minister requested to continue promoting the pioneering and leading role of SOEs in the economy. Photo: VGP

Appreciating the performance of the SOE sector in the past year, the Prime Minister also frankly pointed out many shortcomings. Including the fact that although some SOEs have made great efforts to implement new investment projects, they are still not commensurate with the resources assigned to them; Investment efficiency is not as expected, overseas investment faces difficulties, some projects with large investment capital are not successful…

The reason is that in some places, there are times when we are still passive and confused in the face of major changes, policy responses are not timely, and restructuring is not appropriate to the situation; The spirit of innovation in some corporations and corporations is still limited, there is still fear of mistakes, fear of responsibility, and some regimes and policies are not appropriate.

Therefore, in the coming time, the Prime Minister requests to continue to thoroughly grasp and implement Directive No. 07/CT-TTg of the Prime Minister dated February 22, 2024 on governance innovation and improving production and business efficiency and strongly promote investment and development of SOEs and other related directions and conclusions.

Emphasizing a number of additional contents, the Prime Minister requested to continue promoting the pioneering and leading role of SOEs in the economy; SOEs need to be a pioneering force, leading in innovation, digital transformation, and economic restructuring associated with growth model innovation. Strengthen links with domestic businesses of different economic sectors, create domestic linkage and supply chains, reduce dependence on foreign countries…

The Prime Minister noted promoting the role of the State Capital Investment and Trading Corporation (SCIC); Use capital for development investment. Completely handle existing problems and weak projects based on considering overall benefits, not local benefits…

With ministries and branches, the Prime Minister requires that based on their functions, tasks and powers, they must be active, proactive and responsible in helping businesses, creating conditions and opportunities for businesses to develop, “Do not let businesses come to ask, only do it when you call”, coordinate effectively with businesses to remove difficulties, overcome challenges, promote strengths, limit weaknesses, move forward, keep up and rise, accelerate development.

The Prime Minister assigned the Ministry of Planning and Investment to preside over and develop a project on state management of state-owned enterprises, in the direction of separating ownership functions and state management functions; The Committee for Management of State Capital at Enterprises summarizes the Committee model, proposes to complete relevant regulations and be more proactive and active in operations.


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