The province now has 12 SOE, six businesses with state capital contribution. All are small and medium-sized enterprises, mostly operating in the fields of public utility and social security.

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In general, the production and business activities of SOE are not highly effective. Some are profitable but their budget contributions are low. The dividends distributed on the State's capital contribution are insignificant.

In 2023, Bac Giang province issued plan to divest all capital from 10 enterprises with state capital contribution that do not need to be controlled, but there are still many obstacles so the divestment failed to complete the target.

The slow and hard State capital divestment was resulted because it depended largely on shareholder structure and the current state of the enterprise. Most businesses have small scale, limited financial capacity, inefficient production and business, low competitiveness. So it is hard for them to attract partners and investors to contribute capital and buy shares. Some do not have advantages in land or trade.

On the other hand, the ownership ratio of State shareholders is too small or there are other shareholders with controlling rights (over 51%) in the enterprise which reduces the attractiveness of state capital contribution.

To promote production and business and continue improving the efficiency of SOE as well as soon complete the goal of divesting state capital in enterprises, Bac Giang will focus on a number of solutions in the upcoming time.

Particularly, the province strives to complete divesting all State capital in 10 joint stock enterprises with State capital contribution, continue arranging and organizing the management structure to improve the operational efficiency of the two forestry companies during 2023-2025 period.

At the same time, Bac Giang requested the Government to issue specific instructions on the order and procedures to divest state capital in joint stock companies with state capital; have special mechanism for capital transfer for companies with a low percentage of State capital contribution, controlling shareholders, inefficient business operations that are not attractive to investors.

The province also proposed the State Bank of Vietnam to preside over and coordinate with the Ministry of Finance to guide the method of handling old loans of agricultural and forestry companies as well as amend and supplement the mechanism to handle old debts, including principal and interest debts, of forestry companies.

Nearly 1,490 businesses newly established in Bac Giang

BAC GIANG – Bac  Giang province has had nearly 1,490 newly established companies for 8 months of this year, up 30 percent year on year, with total registered capital of over 20 trillion billion VND (about 852 million USD), reported the Department of Planning and Investment.

Department of Planning and Investment discusses and removes difficulties for businesses

BAC GIANG - On the morning of August 15, the Department of Planning and Investment (DoPI) of Bac Giang province held a conference to meet and talk with companies and investors in the province to listen, grasp and promptly remove their difficulties during production and doing business.

Businesses are still "thirsty" for labor

BAC GIANG - Since early this year, many enterprises in Bac Giang province have faced difficulties in recruiting workers. The functional sectors and localities have implemented a number of solutions to support them in sufficient employment to meet production and business requirements.

Bac Giang reforms tax procedures, facilitates citizens and businesses

(BGO) - The Bac Giang provincial Tax Department has recently paid due attention to reforming administrative procedures towards professionalism, transparency and efficiency, thereby creating favorable conditions for citizens and businesses to fulfill their tax obligations.

Bac Giang timely supports businesses to increase PCI

(BGO) - The assessment result of annual provincial competitiveness index (PCI) in Bac Giang province is based on the total score of 10 component indexes. The "Business Support Policy” index is considered an important indicator helping enterprises boost production and business to increase revenue. The relevant departments and sectors have focused on implementing this index, gradually creating satisfaction for businesses.