Prime Minister Requires SOEs to Play Leading Role in Economy

9:01:10 AM | 3/25/2022

State-owned enterprises (SOEs) should play a pioneering role in reform, renovation and science-technology development, and demonstrate their leading role of the economy, Prime Minister Pham Minh Chinh said.

The conference between PM Pham Minh Chinh and State-owned enterprises (Photo: VNA)

The Government leader made the requirement at a national videoconference with SOEs on March 24 on the theme of continuing to enhance operation efficiency of SOEs.

PM Chinh said SOEs have contributed greatly to the national construction and defence cause. However, their development has not matched the resources that they are possessing, and has not met expectations and requirements.

He admitted that problems remain in existing institutions, mechanisms and policies, which hinder the development of SOEs. The legal environment and ecology for SOEs also have many limitations and shortcomings, while State management agencies have not performed well their tasks in strengthening and promoting the position and role of SOEs.

The PM assigned specific tasks to ministries and agencies to address the hindrances in the development of SOEs, with the Finance Ministry told to early complete draft revisions to the law on management and use of State capital in enterprises.

The Ministry of Labour, Invalids and Social Affairs is urged to submit to the Government draft decrees on labour management, wages and rewards for people holding managerial positions and workers in SOEs in line with the market principles.

The Ministry of Science and Technology is tasked with revising regulations on investment and financial mechanism for scientific-technological activities.

The PM required the Government Office and the Ministry of Planning and Investment to sum up recommendations made at the conference, in order to enable the Government to early finalise a resolution on tasks and measures to stimulate reform and improve operation efficiency of SOEs, thus making full use of SOEs’ resources in socio-economic development.

According to reports and opinions at the conference, SOEs has, and is playing an important role in the economy, contributing 29 percent of the national GDP. They also played the key role in some industries and sectors. However, their business and production activities face many obstacles, thus limiting the mobilization of their resources for the economy.

Participants shared the view on the need to enhance the operational efficiency of SOEs, with the key task in the immediate future being increasing investment in innovation and application of science-technology.