State Audit to look into controversial Danang-Quang Ngai Expressway next year

23-Oct-2018 Intellasia | The Saigon Times | 6:00 AM Print This Post

The State Audit of Vietnam (SAV) plans to audit 25 State-owned enterprises, financial organisations and various projects next year, including the VND34 trillion (US$1.4 billion) Danang-Quang Ngai Expressway, in which questions about the quality of its construction has been raised, despite being opened to traffic just last month.

The SAV has sent its proposed audit report to the National Assembly. According to the report, the agency will reduce the number of audited enterprises against 2018 to improve the quality and effectiveness of its inspections.

The agency plans to check the restructuring of the State budget, and the performance of financial and budgetary management solutions for 2018. It will also inspect key transport projects under the build-operate-transfer and build-transfer investment formats.

These projects include the Tan Vu-Lach Huyen Highway in the northern city of Hai Phong, the Noi Bai-Lao Cai Expressway, a section of An Suong-An Lac on the National Highway 1A in HCM City, and Tan Son Nhat-Binh Loi-Outer Ring Road.

The controversial Danang-Quang Ngai Expressway project is also to be included in the inspection plan. Its contractors mobilised machines and labourers to dig up parts of the road, scraped off its surface, and re-asphalted the foundation to mend a section of the expressway riddled with potholes, some measuring up to half a metre. The repairs were completed this Wednesday.

In the construction sector, SAV will conduct 38 audits, including large investment projects such as the Binh Phuoc Ethanol Plant, the Ninh Binh Fertiliser Plant, construction of the Hai Phong International Gateway Port, the urban transport development project in Hai Phong, and several power plant projects.

Regarding State-owned enterprises (SOEs), SAV will evaluate the financial statements of large economic groups and corporations to assess their management of State assets in 2018.

It will also evaluate the structuring process of SOEs, with a focus on financial management, equitisation and divestment.

This will help evaluate the management capacity of these enterprises and ensure the healthy development of the domestic goods and services market for energy and other essential products.

The Vietnam National Coal and Mineral Industries Group, and the Vietnam Airlines Corporation are among the major corporations subject to SAV audits next year.

In the financial field, the watchdog’s inspections will focus on activities involving the 2018 use of State capital and assets of the State Bank of Vietnam, and some major banks, financial and insurance companies, in a bid to evaluate the efficiency of their monetary management.

The SAV will also evaluate the restructuring of credit institutions involving their cross-ownership, and non-performing loan management.


Category: Business, Vietnam

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