Central government targets to boost SOEs' profitability

Despite progress, problems in management and internal control pose risks and need to be solved

The central government has reiterated its determination to improve competitiveness and profitability for State-owned enterprises, especially for those directly administered by the State Council.

This was one of the decisions made at a State Council executive meeting, presided over by Premier Li Keqiang on Nov 29. The meeting also aimed to further adopt reforms within SOEs by strengthening internal management, such as establishing a stricter rewarding and punishment system, as well as more stringently monitoring overseas investments projected by these major companies.