VEC urged to accelerate restructuring efforts
10:49, 2014/10/07
Minister of Transport Dinh La Thang requested the Vietnam Expressway Corporation (VEC) complete its restructuring plans so the process can be concluded in 2015.
Restructuring the VEC’s organisational and operational model is urgent and a prerequisite for sound development in the future, he stressed.
Founded 10 years ago, the VEC was expected to fund seven expressway projects, five of which are currently underway with a total capital of more than 125.5 trillion VND (5.9 billion USD), according to General Director Mai Tuan Anh.
The corporation drafted its restructuring plan in 2012 and one year later the Prime Minister approved capital restructuring for five VEC-invested projects, namely the Cau Gie-Ninh Binh, Noi Bai-Lao Cai, Ho Chi Minh City-Long Thanh-Dau Giay, Ben Luc-Long Thanh and Da Nang-Quang Ngai expressways.
The restructuring process aims to improve the VEC’s operational capacity, business efficiency and competitiveness, Anh said. Together with the maximisation of funds for expressway development, restructuring would help improve the company’s financial capacity and ensure a stable financial structure in future.
According to Nguyen Chien Thang, head of the Ministry of Transport’s Business Management Department, the VEC’s restructuring process has seen initial results, with equitisation being the only way for the highway developer to effectively manage its huge capital.
Tran Van Lam, head of the ministry’s Personnel Organisation Department, said the restructuring plan needed to clarify the opportunities and challenges the corporation would face in the times ahead as well as areas to be reorganised.
Minister Thang also asked the VEC to draw lessons from each project in order to maintain its position as a key investor in transport infrastructure development.
To ensure the restructuring process stays on schedule, the corporation as a whole should be equitised at the same time as its various projects, he said, calling upon the VEC to clarify the proportions of State capital and private capital in its financial plans.
The corporation should focus entirely on the projects already underway, ensuring quality and safety whilst avoiding waste and losses, he added.
The corporation drafted its restructuring plan in 2012 and one year later the Prime Minister approved capital restructuring for five VEC-invested projects, namely the Cau Gie-Ninh Binh, Noi Bai-Lao Cai, Ho Chi Minh City-Long Thanh-Dau Giay, Ben Luc-Long Thanh and Da Nang-Quang Ngai expressways.
The restructuring process aims to improve the VEC’s operational capacity, business efficiency and competitiveness, Anh said. Together with the maximisation of funds for expressway development, restructuring would help improve the company’s financial capacity and ensure a stable financial structure in future.
According to Nguyen Chien Thang, head of the Ministry of Transport’s Business Management Department, the VEC’s restructuring process has seen initial results, with equitisation being the only way for the highway developer to effectively manage its huge capital.
Tran Van Lam, head of the ministry’s Personnel Organisation Department, said the restructuring plan needed to clarify the opportunities and challenges the corporation would face in the times ahead as well as areas to be reorganised.
Minister Thang also asked the VEC to draw lessons from each project in order to maintain its position as a key investor in transport infrastructure development.
To ensure the restructuring process stays on schedule, the corporation as a whole should be equitised at the same time as its various projects, he said, calling upon the VEC to clarify the proportions of State capital and private capital in its financial plans.
The corporation should focus entirely on the projects already underway, ensuring quality and safety whilst avoiding waste and losses, he added.
18:30, 2024/11/13
New supply to boost Hanoi retail property market
Hanoi's retail property market continues to show strong growth potential.
11:35, 2024/11/07
Vietnam, China cross-border railway project to start construction in 2025
The project will serve as a vital railway link between Vietnam and China, advancing the Belt and Road Initiative.
20:56, 2024/11/04
Hanoi approves 14 residential projects amid market challenges
The fourth quarter would see increasing supply of new apartments, with around 9,700 units to get launched.
11:34, 2024/10/26
Prime Minister urges quick construction of National Exhibition Center
Once completed, the center is expected to be a venue for major international and regional events.
20:37, 2024/10/16
Hoa Lac Park aims to become “a high-tech hub”
The Hoa Lac Hi-tech Park is being built as an open model and will serve as the core for the transformation of Hanoi into the country's leading hub for innovation.
21:22, 2024/10/01
Hanoi to build a new biotech high-tech park
The HaBiotech is designed to engage in high-tech activities that align with global trends and Vietnam's strategic policies for high-tech development, with a particular focus on biotechnology.
- Vietbuild Hanoi International Exhibition 2024 attracts over 1,200 pavilions
- Hanoi prioritizes green constructions for sustainability
- Another industrial cluster comes operational in Hanoi
- PM: All resources focused on accelerating key transportation projects
- 9 more housing projects approved for commercial launch in Hanoi
- PM wants to finish 500kV transmission line by Independence Day