Ineffective projects postponed to curb inflation

State owned corporations and groups have stopped or postponed 609 projects, including major projects of the Vietnam Shipbuilding Industry Group (Vinashin) and the Vietnam Oil and Gas Group.

The move was taken following the Government’s instructions on reducing and delaying ineffective projects in order to curb inflation. Accordingly, a total of more than VND34,000 billion investment capital has been slashed. The largest projects suffering from investment reduction include those in Vinashin (VND6,500 billion) and the Vietnam Oil and Gas Group (VND6,000 billion).

In addition, to reduce production costs and administrative expenditure, most State owned corporations and groups cut an average 10-15 percent of their expenditure.

VOV

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