Supervising State investment in businesses enhanced

VGP – The Ministry of Finance is drafting a Decree on supervising State investment and finance in businesses, evaluating effectiveness of their operation and publicly announcing financial information of businesses which the State holds 100% of charter capital and those enterprises invested by the State.

April 10, 2015 3:40 PM GMT+7

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According to Decree No. 61/2013/NĐ-CP, businesses can lower their yearly plan to easily reach the goals or exceed set plans.

In addition, they will be specially supervised in case of losses, the coefficient of liabilities exceeding the safe level as regulated, the incurred losses equal or higher than 30% of the equity or the accumulated losses higher than 50% of the equity or the solvency ratio of debt maturity less than 0.5.

The Draft stipulates specific regulations on financial supervision, evaluation of operation and rankings for businesses which the State holds the entire charter capital, supervising enterprises holding the whole charter capital, joint stock and limited companies.

By Thuy Dung