China’s state-owned firms says debt reduction, curbing risks

Xiao Yaqing, Chairman, State-owned Assets Supervision and Administration Commission (SASAC), attends the annual meeting of the World Economic Forum (WEF) in Davos, Switzerland, January 18, 2017. REUTERS/Ruben Sprich

Vastavam web: Reducing debt and curbing risks remain priorities for China’s state-owned firms, the head of the country’s state assets regulator said on Saturday, as Beijing continues its restructuring and deleveraging efforts.State-owned firms would be pushed to improve their asset quality and boost their equity capital, Xiao Yaqing, chairman of the State Assets Supervision and Administration Commission, told reporters on the sidelines of China’s annual meeting of parliament.

In 2015, Beijing introduced reforms to its state-owned industrial sector aimed at strengthening central government-owned enterprises, while introducing more professional management systems such as the adoption of boards of directors.The sector reported a rebound last year, with enterprises owned by China’s central government showing profit growth of 15.2 percent, to 1.4 trillion yuan ($221.2 billion), the fastest in five years.