The Ministry of Planning and Industry (MPI) is developing a new decree to guide State-owned enterprises (SOEs) on disclosing information, aiming to develop a national SOE database.

The decree will replace Decree 81/2015/ND-CP issued on September 18, 2015 – which also regulates SOEs’ information disclosure.

After five years of implementing the decree, SOEs have improved in disclosing their business information. The number of SOEs revealing their operational information increased to 333 in 2019 from 241 in 2016.

The efforts of the Government have helped bring SOEs forward, making their business operation more transparent and efficient. However, some companies are not serious and performance is not up to scratch.

In addition, some firms are still behind schedule and updates on their business are slower than required. Individuals and organisations representing the Government to control State capital in those companies have not met professional standards.

The new decree focuses on general rules, SOE information disclosure, the national SOE database and terms of reference and responsibility.

Per the decree, business information must be updated accurately and punctually by the firm’s legal representative. The representative must be held accountable for the company’s statements.

It also says that business news must be posted on the portal and website of the firm, the State agency and the MPI’s business information portal. Companies are also required to publicise their six-month and full-year financial reports.

Any parent company, in which the State holds more than 50 per cent of charter capital, must compile reports for both parent and member companies’ financial status and production.

An extraordinary event must be updated within 36 hours on the firm’s portal and website and MPI’s business information portal. The event must be reported to the State agency.

The State representative at the SOE may be disciplined, penalised or fired if the firm violates disclosure rules and the violations lead to losses for the company and the State. — VNS