Several Opinions on Perfecting State-owned Assets Management System
To enhance the performance of SOEs has been the top priority of Chinese government reform agenda. Among many others measures, the State Council recently has taken one more regulatory initiative by to promote the efficiency of the State-owned Assets management.
On 4th of November 2015, the State Council released the Several Opinions on Reforming and Perfecting the State-owned Assets Management System (The “Several Opinions”)《关于改革和完善国有资产管理体制的若干意见》).
The first main focus of the Several Opinions is on agencies that supervise and administer the State-owned Assets. The Several Opinions set to:
- describe the roles and functions of State-owned Assets Supervision and Administration Agencies (SASAA);
- refine the measures to supervise and administer State-owned Assets;
- specify the focal points of supervising and administrating State-owned Assets;
The second main focus of the Several Opinions is on companies designated to invest and operate State-owned Capital. The Several Opinions propose to:
- inaugurate State-owned Capital Investing and Operating Companies (SCIOC) as the State investors,
- elucidate the relationships between the SCIOC and the SASAA,
- explicate the relationships between the SCIOC and enterprises contributed thereby,
- conduct pilot schemes for SCIOC to perform its functions as State investors.
The Several Opinions also prescribe that it is imperative to establish the Revenue System of State-owned Capital, to promulgate regulations on State-owned Capital, to continue restructurings of state-owned assets, to encourage M&As among SOEs, and to reform other relevant supplementary systems.