THE PRIME MINISTER
OF GOVERNMENT
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SOCIALIST REPUBLIC OF VIET NAM
Independence - Freedom - Happiness
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No: 263/2006/QD-TTg
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Hanoi, November 15, 2006
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DECISION
PROMULGATING THE
GOVERNMENT'S PROGRAM OF ACTION FOR STEPPING UP THE REORGANIZATION, RENEWAL,
DEVELOPMENT, AND RAISING THE EFFICIENCY OF STATE ENTERPRISES IN THE 2006-2010
PERIOD
THE
PRIME MINISTER
Pursuant to the
December 25, 2001 Law on Organization of the Government;
Pursuant to the Government's program of action promulgated together with the
Government's Resolution No. 25/2006/NQ-CP of October 9, 2006, on the
implementation of the Xth Party Congress' Resolution and the XIth National
Assembly's Resolution on the 2006-2010 five-year socio-economic development
plan;
At the proposal of the Minister-Director of the Government Office,
DECIDES:
Article
1.- To
promulgate together with this Decision the Government's program of action for
stepping up the reorganization, renewal, development, and raising the
efficiency of state enterprises in the 2006-2010 period.
Article
2.- This
Decision takes effect 15 days after its publication in "CONG BAO."
Article
3.- Ministers,
heads of ministerial-level agencies, heads of government-attached agencies,
presidents of provincial/municipal People's Committees, and managing boards of
economic groups and state corporations shall implement this Decision.
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PRIME MINISTER
Nguyen Tan Dung
PROGRAM
OF
ACTION FOR STEPPING UP THE REORGANIZATION, RENEWAL, DEVELOPMENT, AND RAISING
THE EFFICIENCY OF STATE ENTERPRISES IN THE 2006-2010 PERIOD
(Promulgated together with the Prime Minister's Decision
No. 263/2006/QD-TTg of November 15, 2006)
The Xth National
Congress of the Communist Party of Vietnam promulgated a resolution approving
the report on the 2006-2010 five-year socio-economic development orientations
and tasks, putting forward an important solution, among others, to further
stepping up the reorganization, renewal, and raising the efficiency and
competitiveness of state enterprises. On June 29, 2006, the XIth National
Assembly promulgated at its 9th session Resolution No. 56/2006/NQ-QH11
approving the report on the 2006-2010 five-year socio-economic development
plan. In furtherance of the above Resolutions of the Party and the National
Assembly, the Government promulgated its program of action on implementation of
the Xth Party Congress' Resolution and the XIth National Assembly's Resolution
on the 2006-2010 five-year socio-economic development plan.
In order to
institutionalize the Party's viewpoints, line and orientation mentioned in the
Resolution of the Xth Party Congress and concretize the Government's program of
action on implementation of the Xth Party Congress' Resolution and the XIth
National Assembly's Resolution on the 2006-2010 five-year socio-economic
development plan regarding the reorganization, renewal, development, and
raising the efficiency of state enterprises, the Government promulgates its
program of action for stepping up the reorganization, renewal, development, and
raising the efficiency of state enterprises in the 2006-2010 period with the
following contents:
Part
I
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1. To continue
reviewing and classifying economic groups and state corporations and companies
in order to reorganize and renew them in the spirit of the Resolution of the
Xth Party Congress and in response to the requirements of the 2006-2010
five-year socio-economic development. To further urge, inspect, supervise, and
raise responsibilities of, agencies and individuals responsible for the
implementation of the approved plan and roadmap of reorganization and
equitization of state enterprises and for settlement of problems arising in the
course of implementation.
2. To further renew
the management mechanism and operation, and increase investment in the
development, of economic groups and state corporations and companies in which,
in the immediate future, the State will hold 100% of their charter capital so
that they can serve as a macroeconomic regulation instrument in the market
economy and efficiently and competitively operate in the context of global
economic integration; to closely supervise the operation of state enterprises
and representatives of state capital portions in other enterprises, realize
publicity and transparency in the organization and operation of state
enterprises in order to manage and use state capital efficiently for business
activities, prevent and combat waste, corruption and negative practices.
To complete by 2009
the conversion of all companies in which the State holds 100% of their charter
capital into limited liability companies with one or more members or
joint-stock companies with owners being the State. To further support state
enterprises by providing their managers with business administration knowledge
training and retraining.
To continue studying
and piloting new organizational and managerial models, e.g., management boards
of state corporations or companies hiring executive general directors, even
foreigners, under contracts; converting scientific and technological research
non-business units of economic groups or state corporations into
scientific-technological enterprises.
3. To speed up the
equitization of state companies and increase the number of those to be
equitized. To concentrate on directing the equitization of economic groups,
state corporations and companies of large scale, state-run commercial banks and
state financial companies; to attract capital for enterprises, renew
administration and raise their production and business efficiency and
competitiveness. Equitization combined with listing and trading in the
securities market must create high-quality commodities for this market. To
expand pilot equitization of tree gardens associated with processing
establishments under state-run agricultural and forestry farms. To experiment
for wide application the equitization of state companies performing
public-utility tasks and economic non-business units with revenues.
4. To reorganize
state-run agricultural and forestry farms together with reviewing the actual
land use and classification of land allotted to agricultural and forestry farms
and management boards of protective forests and special-use forests so as to
ensure the efficient use of the land fund in accordance with the land law.
5. To perfect the
organization model and operation mechanism of economic groups, state
corporations and companies operating after the parent-subsidiary company model
with multi-ownership subsidiary companies in order to bring into play the
economic efficiency of business consortiums as well as the autonomy and
accountability of companies in the consortiums. To equitize economic groups,
corporations and parent companies according to appropriate roadmaps.
6. To expeditiously
consolidate the organization, operation, management and administration of the
State Capital Investment and Trading Corporation so that it can properly
perform the function of state capital management and investment in accordance
with the State Enterprise Law and the Prime Minister's Decision No.
151/2006/QD-TTg of June 20, 2005, establishing the State Capital Investment and
Trading Corporation.
7. To actively renew
the organization and management and raise the administration capability of
state enterprises to be more and more adaptable to the market mechanism and the
context of global economic integration.
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9. In the immediate future,
to promulgate or revise the following legal documents on reorganization,
renewal and development of state enterprises:
a/ Criteria for
classification and reorganization and lists of economic groups and state
corporations and companies in the spirit of the Resolution of the Xth Party
Congress;
b/ List of domains in
which the State holds monopoly, and a roadmap for ending monopoly in several
domains;
c/ Revision of the
Regulation on management of state companies' finance and state capital invested
in other enterprises;
d/ Regulations on the
mechanism for management of finance, salaries and incomes of one-member limited
liability companies with owners being the State;
e/ Regulations on
supervision mechanisms and regulation policies applicable to enterprises whose
business monopoly cannot be abolished yet;
f/ Regulations on
supervision of state corporations and companies operating at a loss or
inefficiently;
g/ Revision of
regulations on equitization of state companies;
h/ Guidance on the
enforcement of the Securities Law;
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j/ Revision of
regulations on organization and management of state corporations and the
conversion of state corporations and independent state companies to operate
after the parent-subsidiary company model;
k/ Revision of
policies towards laborers who are left redundant due to the reorganization of
state enterprises, for application from 2007.
The specific tasks of
ministries, ministerial-level agencies, provincial/municipal People's
Committees, economic groups and state corporations are defined in the Appendix
to this Decision.
Part
II
ORGANIZATION OF IMPLEMENTATION
1. Based on the major
tasks and contents of this program of action and their assigned functions and
tasks, ministers, heads of ministerial-level agencies, heads of
government-attached agencies, presidents of provincial/municipal People's
Committees, and management boards of economic groups and state corporations
shall draw up plans and roadmaps for reorganizing and equitizing economic
groups, state corporations or companies under their management and submit them
to the Prime Minister for approval; shall review and revise mechanisms and
policies on reorganization and renewal of state enterprises as assigned by the
Prime Minister.
2. Ministers, heads
of ministerial-level agencies, heads of government-attached agencies,
presidents of provincial/municipal People's Committees, and management boards
of economic groups and state corporations shall direct, inspect and urge the
reorganization and equitization of economic groups and state corporations or
companies according to the Prime Minister-approved plan and roadmap and report
thereon to the Prime Minister.
3. The Steering Committee
for Enterprise Renewal and Development shall monitor and urge the
implementation of this program and periodically report the implementation
results to the Prime Minister.
APPENDIX
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(To the Prime
Minister's Decision No. 263/2006/QD-TTg of November 15, 2006)
No.
Tasks
Managing agencies
Coordinating
agencies
Time for submission
to the Prime Minister
Type of document
I
To be-promulgated mechanisms and policies
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1
A decree replacing the Government's Decree
No. 187/2004/ND-CP on the conversion of state companies into joint-stock
companies
Ministry of Finance (MoF)
Steering Committee for Enterprise Renewal
and Development (SCERD)
November 2006
Government decree
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A decree guiding the implementation of the
Securities Law
MoF
State Bank of Vietnam (SBV), SCERD
November 2006
Government decree
3
Criteria for classification and lists of
economic groups and state corporations or companies; domains, branches and
trades in which the State holds 100% of charter capital or dominant shares or
contributed capital
Ministry of Planning and Investment (MPI)
SCERD
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Prime Minister's decision
4
A decree on policies towards laborers who
are left redundant due to reorganization of state enterprises
Ministry of Labor, War Invalids and Social
Affairs (MoLISA)
MoF
December 2006
Government decree
5
Amendments and supplements to Decree No.
153/2004/ND-CP of August 9, 2004, on the organization and management of state
corporations and the conversion of state corporations or independent state
companies to operate after the parent-subsidiary company model
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SCERD and concerned ministries
December 2006
Government decree
6
Mechanisms for management of salaries and
incomes in one-member limited liability companies with owners being the State
MoLISA
MoF and concerned ministries
December 2006
Government decree
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Regulations on the grading of salaries for
managers of economic groups
MoLISA
MoF
December 2006
Prime Minister's decision
8
A decree on the financial mechanism
applicable to one-member limited liability companies with owners being the
State
MoF
Concerned ministries and branches
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Government decree
9
A list of domains in which the State holds
monopoly and a roadmap for ending monopoly in several domains
Ministry of Trade (MoT)
MPI, SCERD
January 2007
Prime Minister's decision
10
Amendments to Decree No. 80/2005/ND-CP of
June 22, 2005, on the assignment, sale, business contracting and lease of
state companies
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MoF, SCERD
March 2007
Government decree
11
Amendments and supplements to Decree No.
199/2004/ND-CP of December 3, 2004, promulgating the Regulation on management
of state companies' finance and state capital invested in other enterprises
MoF
Concerned ministries and branches
First quarter of 2007
Government decree
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Regulations on supervision mechanisms and
regulation policies applicable to enterprises whose business monopoly cannot
be abolished yet
MoF
MoT, SCERD
First quarter of 2007
Prime Minister's decision
13
Regulations on the supervision of state
corporations or companies operating at a loss or inefficiently
MoF
SCERD
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Prime Minister's decision
14
A regulation on management, organization
and operation of economic groups and parent-subsidiary consortiums
MPI
MoF, SCERD and concerned ministries
May 2007
Prime Minister's decision
II
Organization of implementation
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1
Formulating a scheme on the reorganization
and renewal of state enterprises for submission to the Prime Minister for
approval
Ministries, provincial/municipal People's
Committees, economic groups, state corporations
SCERD
First quarter of 2007
Scheme
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Disseminating and propagating the Party's
resolutions and the State's mechanisms and policies on reorganization,
renewal, development and raising the efficiency of state enterprises
Ministries, provincial/municipal People's
Committees, economic groups, state corporations
Regularly
3
Directing the implementation of the Prime
Minister-approved schemes on the reorganization and renewal of state
enterprises
Ministries, provincial/municipal People's
Committees, economic groups, state corporations
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III
Reviewing, and reporting on, the application
of a number of forms of reorganization and renewal of state enterprises
1
Reporting on the conversion of state
companies into joint-stock companies under Decree No. 187/2004/ND-CP of
November 16, 2004, and the equitization of state corporations and parent
companies
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SCERD
December 2006
2
Preliminarily reviewing the implementation
of the Government's Decree No. 170/2004/ND-CP of September 22, 2004, and
Decree No. 200/2004/ND-CP of December 3, 2004, on the reorganization and
renewal of state-run agricultural and forestry farms
Ministry of Agriculture and Rural
Development (MARD)
SCERD
December 2007
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Preliminarily reviewing the conversion of
state companies into one-member limited liability companies
MPI
MoF, SCERD
January 2007
4
Preliminarily reviewing the conversion of
state corporations or independent state companies to operate after the
parent-subsidiary company model, and the management thereof
MPI
SCERD
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5
Reporting on the equitization of a number
of non-business units with revenues
SCERD
MoF
January 2007
6
Preliminarily reviewing the equitization of
state corporations and parent companies
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SCERD
Fourth quarter of 2007
7
Preliminarily reviewing the organizational
model and operation efficiency of economic groups
SCERD
MPI
February 2008
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Preliminarily reviewing the pilot model of
hiring executive directors under contracts
SCERD
MPI, MoF
March 2008
9
Preliminarily reviewing the conversion of
non-business units of economic groups or state corporations into scientific-technological
enterprises
SCERD
Ministry of Science and Technology and
concerned ministries
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10
Preliminarily reviewing the pilot
equitization of tree gardens associated with processing establishments
MARD
SCERD
June 2007