Chinese Vice Premier Zeng Peiyan said Tuesday that state-owned
enterprises (SOEs) administered by the central government should
grow more competitive to play a larger role in the economy.
"Centrally administered SOEs are a main force in state-owned
firms and a backbone in the national economy," Zeng said. "They
should become bigger and stronger to contribute more to the
economic and social development."
Stronger SOEs would enable the state-owned sector to consolidate
its leading role in the economy and China should waste no time
building its own internationally-competitive companies, he
said.
Zeng recognized that centrally administered SOEs had made
significant progress in their reforms in the last five years, with
total assets rapidly expanding and profitability greatly
improved.
China currently had 152 such SOEs, all under the supervision of
the State-owned Assets Supervision and Administration Commission of
the State Council (SASAC).
Although the number of such SOEs dropped to about 160 last year
from more than 190 in 2002 due to economic restructuring, their
total sales jumped 146 percent and profits increased two-fold.
"SOEs have found a way to activate themselves in the socialist
market economy," Zeng said.
He noted China should "promote the corporate and share-holding
reforms in SOEs, deepen the reforms in monopoly sectors and
encourage SOEs to expand overseas".
SASAC head Li Rongrong said China would actively boost the
participation of the private sector and foreign investment in the
share-holding reform of centrally administered SOEs.
(Xinhua News Agency December 19, 2007)
