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SOEs equitization delayed; expected to miss IPO schedules

Equitization of SOEs in VietnamBig State-owned corporations look likely to miss their IPO (initial public offering) schedules set for this year due to prolonged economic difficulties and concerns over business valuations.

Corporations which had been expected to make IPOs this year include Vietnam Airlines and construction materials company Viglacera Corp. Both have now announced they have no plans to sell shares to the public from now until the end of the year. Vietnam Investment Review, July 13, 2013 Read more

Economy needs to focus on industries with key advantages (SOEs)

Jun 6, 2012. Nguyen Tu Anh from the Department for Economics Research spoke to the publicationThoi Bao Kinh Te Sai Gon (Sai Gon Economic Times) about the troubles of Vinashin and Vinalines.

What lessons can we learn from the losses at these State-owned corporations?

It’s a critically important lesson on management. A large flow of funds was poured into these State corporations and they somehow became unmanageable. They incurred losses but no one knew.

Does that have anything to do with the strategy to pick certain sectors as top priorities for development?

In the past, we picked too many sectors as priorities. These sectors weren’t chosen based on competitive advantages: for example, the auto industry.

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