On the morning of November 23, Mr. Le Quang Manh, Chairman of the National Assembly's Finance and Budget Committee, presented a summary report on the review of the draft Law on State Capital Management and Investment in Enterprises.
The Finance and Budget Committee noted that the provisions of the draft Law will contribute to institutionalizing the Party's viewpoints and policies on continuing to restructure, innovate and improve the efficiency of State-owned enterprises (SOEs); ensuring that SOEs operate according to market mechanisms, respecting and enhancing the autonomy and self-responsibility of enterprises; and strengthening State inspection and supervision in the management and investment of capital in enterprises.
The Committee found that the provisions on the duties and powers of enterprises in the draft law do not cover all types of enterprises. Therefore, it is recommended that the drafting agency supplement regulations clearly defining duties and powers by group, scale, and type of enterprise, noting that there are separate provisions for some specific types of enterprises such as public service enterprises, defense and security enterprises, etc.
The Finance and Budget Committee found that setting aside a maximum of 50% of after-tax profits for the Development Investment Fund for enterprises with 100% State capital investment is appropriate. The draft Law has revised the regulations on the purpose of using the Development Investment Fund for enterprises in the direction that it will be implemented according to Government regulations.
However, the Committee proposed to supplement the draft Decree guiding the implementation of this content to ensure compliance with the provisions of the Law on Promulgation of Legal Documents.
The draft Decree needs to specify the authority, decision, scope, and content of the use of the Fund, ensuring the principle that State capital after being invested in an enterprise is identified as the asset and capital of the enterprise.
The content of State capital invested in enterprises stipulated in the draft Law mainly sets out principles for determining the source, scope, conditions, and forms of State capital investment in enterprises.
The Finance and Budget Committee recommends that the drafting agency continue to review and ensure the spirit of Resolution No. 12-NQ/TW is followed; accordingly, capital investment should only be focused on a number of SOEs operating in key, essential fields or fields where other enterprises do not invest.
Mr. Le Quang Manh added that the Finance and Budget Committee basically agrees with the principles of arranging and restructuring State capital invested in enterprises stated in the Draft Law. However, he suggested that the drafting agency review and supplement a number of principles to ensure the spirit of Resolution No. 12-NQ/TW such as: Applying advanced asset valuation methods in accordance with the market mechanism; ensuring that State capital, assets and enterprise value are fully, reasonably, publicly and transparently valued.
In addition, supplement regulations on handling cases of undervaluation of assets and enterprise value, causing loss of State capital, and regulations on the responsibility of independent valuation consulting organizations in valuing assets, capital and determining enterprise value.
