The scandal-hit Vinashin, presently mired in debts of around $4bn, faces threat of going bankrupt following serious mismanagement by the former top men led by chairman Pham Thanh Binh.
The trial on the handful of former executives however will offer no significant impact on the real issue of reforming Vietnam's state enterprises, according to an economist.
“The real issue here is whether there will be a different management mechanism for state-owned enterprises, and whether the government is serious about addressing 'loss, corruption or deliberate wrongdoing' at state companies,” an economist was quoted saying.
Vietnam will likely continue to be hit by similar Vinashin-style scandals that will hurt the economic prospects unless all the communist country's state-owned enterprises are reformed, stripped of their special privileges and made into 'real enterprise', the economist added.
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