In a group discussion with members of the Tianjin Delegation,
deputy Yang Xiaotang expressed concern about the loss of state
assets and urged the government to supervise more closely their
management and protection.
As
a country with a transitional economy, the management of its assets
has always been a topic of great sensitivity. In the past 20 years
many methods have been used since it first adopted a policy of
openness and reform.
This year, the 10th NPC has received a draft plan to overhaul and
strengthen the management of the state's assets. State Councilor,
Wang Zhongyu, unveiled a draft plan on March 6 to restructure
government institutions which included the establishment of the
State Assets Management Commission.
Yang Xiaotang, general manager of China Electronics Corporation
(CEC) and former vice governor of China Development Bank delivered
his viewpoint about state asset management in the group
discussion.
It
is understood that China's assets are worth over 10 trillion yuan.
"But, actually China doesn't know how much its assets are worth or
the appreciation or losses of its state assets to date," Yang
said.
Now that many provinces have begun to sell their state assets,
there is considerable concern over their state worth. In Xi'an for
example, 49, 942 billion yuan worth of state assets have been
reported sold in the last two years with 60 businesses in the first
submitted list. Shenzhen city government has planned to offer 30-50
state holding companies for sale. Chongqing Municipality has said
that it will sell its state assets worth 100 billion yuan, for
cash, within three to five years.
Yang is concerned that the rush to sell off the assets of the state
might well cause greater losses. He said, "State assets tend to
move from the competitive industry, leaving room for the
development of private enterprise and foreign investment but there
is no regulation on the sale price of these assets."
"The operating system of state owned enterprises (SOEs) is out of
date. One of the important reasons is that there is no specific
manager to supervise it," Yang said. "For the sale of SOEs with
profitability, there have been many supervisors such as the
Ministry of Finance, Ministry of Labor and Social Security, State
Economic and Trade Commission, but for those less profitable ones
there is no department to take care of them."
He
has praised the move to establish the commission in order to
protect and supervise the states assets, which in turn will lead to
great efficiency of their management.
The commission will unify responsibility for finance, personnel and
decision-making. Wang's report proposes that central and local
government administer their state assets separately.
However, deputies, including Yang, said this should be revised in
order to better protect the assets of the state as a whole.
It
was understood that the 9th NPC had placed the protection and
management of the state's assets on a proposed list for legislation
at the next congress. Now it is due to become law.
(China.org.cn by Staff Reporter Tang Fuchun, March 12, 2003)