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Chinese Vice Premier Huang Ju said Sunday at a meeting of officials in charge of central State-owned enterprises (SOEs)?that central SOEs should strive to change development mode for a growth of better quality next year.

 

The national economy has gained good momentum in 2005 and the central SOEs have deepened reforms and improved their assets quality in the year, said Huang at a meeting held on Sunday.

 

In the first year of China's 11th Five-Year Plan (2006-2010), the central SOEs should play an important role in the balance of China's reform, development and stability, Huang said.

 

The state-owned capital should further concentrate on important industries and key areas vital to the national economy, said the vice premier, adding that big enterprises and company groups with international competitiveness should be formed.

 

Huang also urged the SOEs to invest more in hi-tech and new product development and set up a mechanism favorable to innovation.

 

SOEs should be models of saving resources and protecting environment, he said, asking the companies to speed up concerned technology research and develop recycling economy.

 

The vice premier also urged SOEs' to implement "go-out" strategy and improve their work safety.

 

51 listed central SOEs undertake split equity structure reform

 

Fifty-one Chinese central State-owned enterprises (SOEs) had completed or started the split equity structure reform by December 23 this year, said Li Rongrong, director of the State-owned Assets Supervision and Administration Commission (SASAC), at a meeting of officials in charge of central SOEs.

 

Li had announced at an earlier press conference that 310 companies had passed their reform scheme on split equity structure, including 34 central SOEs.

 

The reform has been going on smoothly among companies of blue-chip stocks including Changjiang Power and Wuhan Steel, and that has helped stabilize the market expectation, Li said at Sunday's meeting.

 

To promote the split equity structure reform will be one of the major tasks of SASAC next year, Li said.

 

He urged concerned listed central SOEs to complete their reform on slit equity structure as soon as possible.

 

The split share structure refers to the existence of both tradable shares and a large volume of non-tradable shares owned by the state and legal persons.

 

To make all their shares tradable, listed companies participating in the reform have to offer additional shares or funds to public investors as compensation.

 

(Xinhua News Agency December 26, 2005)

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