Empower Hierarchical Authorization, Corporations, Holding Companies Will be Independent and Accountable

The Ministry of Planning and Investment is finalizing a consultation process on the draft amendment to Government Decree No. 10/2019/ND-CP regarding the implementation of rights and responsibilities of state capital representatives. The revised decree aligns with the Prime Minister's directive to enhance decentralization and delegation of power. Under this revision, State-owned enterprises, corporations, and conglomerates will operate with more autonomy and assume greater responsibility. The revised decree will be submitted to the Government in the near future.


This is the opinion of Deputy Minister of Planning and Investment Tran Duy Dong at a working session of the Prime Minister with the State Capital Management Committee at Enterprises (SCMC) and 19 State-owned Enterprises (SOEs) recently.

Deputy Minister of Planning and Investment Tran Duy Dong delivering remarks at the working session – Photo: VGP/Nhat Bac

Important contributions but lacking an ‘aggressive’ spirit

At the working session, Deputy Minister of Planning and Investment Tran Duy Dong said that by the end of 2023: The total revenue of the 19 parent companies of the SOEs reached nearly 1.136 quadrillion VND, or 105% of the plan. The total pre-tax profit reached over 53 trillion VND, or 166% of the plan. The total state budget contribution reached 79.2 trillion VND, or nearly 200% of the plan… These results contributed greatly to the country’s economic development in the context of domestic businesses facing many difficulties.

In 2023, the corporations and SOEs provided important products and services for the economy, meeting the essential needs of the people such as electricity, coal, petroleum, basic chemicals.

The units disbursed approximately 161 trillion VND, focusing on important projects in the energy sector (accounting for 130 trillion VND), with some corporations achieving positive disbursement results.

In addition, the SCMC actively directed the SOEs to continue to resolve difficulties, obstacles to accelerate the implementation and completion of many important transportation infrastructure projects such as the Long Thanh International Airport Project, the Ben Luc – Long Thanh Expressway Construction Project, the Vai Thieu LNG Import Port Project… The accelerated implementation of these major projects is expected to have widespread impacts on socio-economic development in 2024 and beyond.

In addition to the above-mentioned commendable results, the leaders of the Ministry of Planning and Investment pointed out: The investment and implementation of projects by the SOEs under the SCMC still have some issues.

The disbursement of investment capital for the whole year 2023 only reached about 80% of the plan. Some corporations have not achieved the disbursement rate as set out in the plan, such as PVN with nearly 66%, VNPT with 61%, and Mobifone with 56%. SCIC has not disbursed funds to implement investments in 2023. New investment capital is focused on a few important sectors such as energy, transportation infrastructure; investment results of other sectors and areas are still limited. The proportion of investment capital in leading industries and sectors that are driving forces, especially in new areas such as clean energy production, renewable energy, high technology (semiconductor chip manufacturing, hydrogen production…) does not have large-scale development investment projects to provide impetus for breakthroughs, spread effects, support restructuring, and enhance the competitiveness of the economy…

Urgently implement the Party and Government’s Resolutions

Resolution No. 01/NQ-CP of the Government on the key tasks and main solutions to develop the economy and the State budget in 2024 sets out the key task of promoting the construction and development of a strategic and synchronized infrastructure system, especially modern, strategic projects such as highways, airports, seaports, urban infrastructure, regional infrastructure, digital infrastructure, social infrastructure, healthcare, education…

First, it is necessary to focus on removing difficulties and accelerating the progress of implementing important national transportation infrastructure projects such as the Long Thanh International Airport, the T3 Terminal – Tan Son Nhat International Airport, early completion of upgrading the maritime traffic lanes to Cai Mep – Thi Vai Port, the Nam Nghi Son port, the Ben Luc – Long Thanh Expressway project…

Second, timely and effective implementation of the Power Development Master Plan for the period 2021-2030, vision to 2050; promote the implementation of important electricity projects such as Nhon Trach 3,4, Quang Tri Thermal Power Plant 1, launch the O Mon 3, O Mon 4 Power Plant projects… ensuring energy security, supplying sufficient electricity, fuel for consumption, and production…

Third, the need to continue the transformation, development, and popularization of traditional telecommunications infrastructure into digital infrastructure; promote the development of data center and cloud computing infrastructure, digital technology infrastructure and digital platforms, digital applications to create impetus for digital economic development. Develop and popularize national digital platforms; complete the integration, sharing of national data, contributing to creating a new development space; focus on building the National Data Center to serve online public administration, direction, and management services.

To continue promoting the role and effectiveness of investment by corporations and SOEs in the successful implementation of the socio-economic development tasks in 2024, the Ministry of Planning and Investment recommended that agencies and enterprises focus on implementing several solutions.

The ministries need to urgently complete the submission of mechanisms and policies for State capital investment in enterprises to the National Assembly and the Government, implement the rights and responsibilities of state ownership representatives; build and propose specific mechanisms and policies for large-scale corporations, SOEs, and big SOEs to play a leading role in important sectors, fields of the economy…

The Ministry of Finance needs to urgently review and improve the proposal to amend Law No. 69/2014/QH13 for submission to the National Assembly for decision, which needs to fully institutionalize the principles, orientations for further decentralization, delegation of authority; state ownership representatives only decide on big, important issues with direction functions and focus on inspection, supervision. The Council of members, the state ownership representatives at the enterprises are proactively deciding on the production and business activities of the enterprises.

The ministries need to continue reviewing and advising the competent authorities to improve the legal framework on salaries, bonuses of managers and laborers in SOEs; the state ownership representatives at enterprises; urgently submit to the Government the guiding decrees on Bidding Law, Land Law according to the direction of simplifying administrative procedures, facilitating enterprises to implement investment projects, procurement to serve production and business activities…

The SCMC, corporations, and SOEs need to continue implementing the solutions and orientations provided in Resolution No. 68/NQ-CP; resolutely review and implement large-scale and key investment projects according to the instructions of the Prime Minister in Directive No. 12/CT-TTg. Close coordination with ministries and sectors in resolving and reporting to the competent authorities to propose solutions to immediately address the legal issues in the process of implementing projects. Study and establish a periodic exchange mechanism with ministries and sectors, establish special task forces to thoroughly resolve and remove obstacles in the implementation of large-scale and important investment projects.

SOEs need to actively innovate and apply science and technology in investment and development projects; apply new technologies and use clean energy, transform business models towards green economy, circular economy, sustainable development as committed…

The implementation of Resolution No. 68/NQ-CP and Resolution No. 41-NQ/TW to meet the requirements of the country’s economic development in the new context of the fourth industrial revolution, the Ministry of Planning and Investment has studied and proposed to the Prime Minister the Plan “Building mechanisms, policies to form and develop ethnic enterprises to promote their pioneering roles in some emerging sectors and fields with competitive advantages to build an independent and autonomous economy”.

At the working session, Deputy Minister Tran Duy Dong also gave specific answers to the concerns raised by representatives of some leaders of corporations and SOEs.

Deputy Minister Tran Duy Dong said that the Ministry of Planning and Investment is collecting opinions on the draft Decree amending and supplementing some provisions of Decree No. 10/2019/ND-CP of the Government on the implementation of the rights and responsibilities of state ownership representatives and will soon submit it to the Government. Accordingly, the amendment is in line with the spirit of the Prime Minister’s direction to promote decentralization and delegation of authority. Accordingly, corporations and SOEs are autonomous and responsible.

“Regarding the financial mechanism, the Ministry of Finance needs to promptly improve the dossier for submission to competent authorities, with a spirit of separating the functions of state management, the function of representing state ownership, the function of managing production and business at the enterprises, focusing on decentralization and devolution of authority,” emphasized the representative of the Ministry of Planning and Investment.

Nhat Quang

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