Mobifone, one of three largest mobile network providers, has been detached from the state-owned Viet Nam Posts and Telecommunications (VNPT) According to a recent decision of the Prime Minister Nguyen Tan Dung, the telecom company will be under management of the Ministry of Information and Communications.  — Photo seatimes.com.vn

HA NOI (Biz Hub) — Major mobile network operator Mobifone has been detached from the state-owned Viet Nam Posts and Telecommunications (VNPT), and was under the management of the Ministry of Information and Communications (MIC).

This was accomplished after a decision recently by Prime Minister Nguyen Tan Dung to approve VNPT's restructuring plan. The decision came into effect on June 10.

The Prime Minister also asked MIC to submit to the government a plan on Mobifone's equitisation this year.

The decision said that VNPT would re-organise its member companies operating in telecommunications into one firm, called VNPT- Vinaphone. This provider would also govern its own finance affair instead of depending on VNPT as before.

VNPT was allowed to establish member firms such as VNPT- Media, operating in multimedia services, and VNPT - Net, specialising in network infrastructure.

The Prime Minister asked the state-owned corporation to divest its capital from 63 companies and hold less than 50 per cent of charter capital of 18 other enterprises.

The MIC is also required to submit to the government a draft on the organisation and operation of VNPT in the third quarter of 2014.

Mobifone and Vinaphone used to be two telecommunication companies of VNPT. Along with Viettel, the two mobile network providers account for more than 90 per cent of the Vietnamese telecom market.

VNPT had submitted its restructuring plan to the government in May 2012.

In a press conference on March 31, Minister-Chairman of the government office, Nguyen Van Nen said that the government had approved the proposal of MIC, separating telecommunications for equitisation. — VNS