Hanoi (VNA) - The State Capital Investment Corporation (SCIC) has declaredrecord pre-tax profit of around 19 trillion VND (some 837 million USD) in 2016,which is 3.9 times higher than the profit earned in 2013.

Inits report on the business results in the period between 2013 and 2016, SCICsaid its growth had increased continuously.

Itstotal revenue rose by 4.1 times from 5.32 trillion VND in 2013 to 22 trillionVND in 2016. Its contribution to the State budget increased 7.4 times from 2.2trillion VND in 2013 to 16.5 trillion VND in 2016. Its revenue from selling itsstakes in Vinamilk was more than 10.8 trillion VND.

Betweenthe period 2014 and 2016, SCIC poured 13.4 trillion VND into investment,including 6.05 trillion VND in bonds, 1.86 trillion VND in shares and 631billion VND in newly established firms.

Inaddition to these, the corporation also invested 1 trillion VND in Thai NguyenIron and Steel Joint Stock Corporation (TISCO) following the Government’sdirection. However, SCIC divested from the project.

In2016 alone, the corporation disbursed nearly 1.2 trillion VND, including acapital contribution of 18 billion VND in Vietnam INCO JSC for No 29 Lieu Giaiproject, buying 500 billion VND bonds of VPBank and 100 billion VND bonds ofACB.

SCICalso increased its investment of 4.5 billion VND in Trang Tien Plaza Co. Ltd.It has poured money into some other projects, such as industrial scale vaccineproduction project, cancer drug plant and hospitals.

In2017, it planned to sell capital at 107 businesses in various sectors.

Thecorporation said the selling of State capital at businesses has beencontinuously promoted, thus bringing in the positive results. Last year, itsuccessfully sold capital at both big scale firms and those with complicatedand prolonged shortcomings.

Itsbusiness plan submitted to the Ministry of Finance was approved this year.Accordingly, SCIC planned to reduce half of its revenue target this year to 11.2trillion VND, with pre-tax profit of 8.3 trillion VND and after-tax profit of 7.3trillion VND.

SCICis scheduled to implement privatisation of five more enterprises by 2020, whilecontinuing to hold capital in three others, selling capital in 137 firms andcompleting the dissolving of three companies. Among the 137 firms in which SCICplanned to sell State capital, there were big companies such as Vinamilk (39 percent),Traphaco (36 percent), DHG Pharmaceutical Joint Stock and Company (43 percent),as well as Sa Giang Import-Export Company (50 percent), Tien Phong PlasticJoint Stock Company (37 percent), Binh Minh Plastic Joint Stock Company (30 percent),Bao Viet Group (3 percent) and MBBank (10 percent).

SCICsaid it would face difficulties in meeting the targets, though they were lowerthan that of last year. The main reason was that the list of State enterprisesunder Decision No 58/2016/QD-TTg that could be equitised has not been approved.

Itsaid the enterprises management has been ensured and more effective. However,some firms have seen shortcomings and prolonged complication that had slowedthe divestment process.

DangQuyet Tien, Deputy Director of the MoF’s Corporate Finance Department, alsosaid 19 firms had approved their equitisation process by the middle of June,slower than last year.-VNA