On June 25, the government agreed with the Ministry of Finance’s proposal to apply regulations under Decree No. 23 on the establishment, reorganization, ownership conversion, and transfer of ownership rights in state-owned enterprises. This move will reorganize subsidiaries of Vietnam Posts and Telecommunications Group (VNPT) by merging the Vietnam Telecommunications Services Corporation (VNPT-Vinaphone) and the Media Corporation (VNPT-Media) into the parent company, VNPT.

Regarding decision-making authority: VNPT’s Board of Members will decide on the merger of VNPT-Vinaphone and VNPT-Media into the parent company, VNPT, after the merger policy is approved by the Prime Minister, upon recommendation from the Ministry of Finance (representing the state ownership in VNPT).

Within three days from the issuance of this resolution, the Ministry of Finance, based on VNPT’s submitted documents and prior materials from the Commission for the Management of State Capital at Enterprises, must finalize and submit a report to the Prime Minister for approval of the merger policy. The Ministry will be responsible for the documentation and oversight of the merger to ensure the effective use of state capital invested in the enterprise.

VNPT’s Board of Members will oversee the entire merger process to ensure it aligns with the documents and proposals previously submitted to the Ministry of Finance. The goal is to streamline the organizational structure, enhance efficiency, and improve capital utilization. The Board will also be accountable for the merger proposal and its effectiveness.

Thai Khang