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Transport enterprises to divest from non-core businesses

Companies in the realm of ransport will continue to withdraw capital from non-core businesses, according to Deputy Minister of Transport Nguyen Ngoc Dong.
Companies in the realm of ransport will continue to withdraw capitalfrom non-core businesses, according to Deputy Minister of TransportNguyen Ngoc Dong.

Addressing a meetingreviewing the accomplishments of the first six months of 2015 andoutlining tasks for the next sixth months, Dong said from the beginningof 2015, the ministry completed capital divestment from 19 companies,collecting a total amount of almost 1.49 trillion VND (68 million USD).

Corporations were also given the green light towithdraw capital from 27 of their affiliates and associated companiesbesides removing State capital from two local inland waterway managementand maintenance companies, he said.

Theministry recommended the Prime Minister approve capital divestment viatenders and at a larger amount than stipulated in Decision No37/2014/QD-TTg for 23 enterprises, totalling 5.5 trillion VND (252million USD).

Regarding the rearrangement,reform and equitisation, Dong confirmed the ministry would step up therestructuring of nine corporations, including the Shipping-BuildingIndustrial Corporation; Vietnam National Shipping Lines; VietnamExpressway Corporation; Cuu Long Corporation for Investment, Developmentand Project Management of Infrastructure; the Aviation Corporation ofVietnam; and the Central Transport Hospital, among others.

In the next six months, Minister of Transport Dinh La Thang said theministry would strive to complete the equitisation of all enterpriseswhere the State does not need to hold 100 percent of capital in 2015.

After 2015, the ministry should only have controlof four corporations and two companies: the Vietnam Railways, VietnamAir Traffic Management Corporation, Northern Vietnam Maritime SafetyCorporation, Southern Vietnam Maritime Safety Corporation, VietnamMaritime Communication and Electronics LLC and the Transport PublishingHouse.-VNA

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