CHINA will accelerate mixed-ownership reforms at its centrally administered State-owned enterprises (SOEs) through equity diversification and corporate governance changes, according to the country’s State asset regulator.

The government is expecting these changes to not only introduce private investors, but also improve their efficiency and competitiveness.

Supporteded by the specialized capital operation platforms established by the government, banks and private capital, the country will intensify resource integration in areas like manufacturing, power, telecommunication, chemicals, coal, steel, offshore engineering and environmental protection in 2018.

Xiao Yaqing, chairman of the State-owned Assets Supervision and Administration Commission (SASAC), said the government will select qualified SOEs to implement equity diversification at the group level, as well as to explore the governance mechanism and regulatory model that are different from the previous sole proprietorships owned by the government.

China’s centrally administered SOEs, supervised by the SASAC, reported double-digit growth in business revenues and profits in 2017. They gained a total of 1.4 trillion yuan (US$216.8 billion) in profit, up 15.2 percent year on year. Total revenue of the centrally administered SOEs rose 13.3 percent year on year to 26.4 trillion yuan in 2017.

“The main tasks of the SASAC this year is to establish new pilot programs for mixed-ownership reform and cut down SOE debts,” said Xiao.

The SASAC said the series of reforms have reshaped the shareholding structure of SOEs, helped spin off non-core assets and encouraged innovation.

(Xinhua)