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Slower growth at China's major SOEs

(Xinhua) Updated: 2014-07-16 16:49

BEIJING - State-owned enterprises (SOEs) administered by China's central authority witnessed slower growth in operating revenue and profits in the first half of 2014.

The State-owned Assets Supervision and Administration Commission (SASAC)said on Wednesday that combined operating revenue of such enterprises rose 5.1 percent to 12 trillion yuan ($1.95 trillion) in the first six months.

The expansion, however, was much lower than the 9-percent increase in the same period last year and the 8.4 percent growth in the whole of 2013.

The growth in total profits of the enterprises also decelerated from 18.2 percent a year ago to 5.5 percent in the January-June period.

The SASAC administers 113 non-financial SOEs, which are deemed as the backbones of China's economy. But it is widely believed that a lack of competition and poor corporate governance hinder the development of these firms.

To reinvigorate SOEs is high on China's long reform list. In its latest move, six SOEs have been selected to pilot reforms in ownership, management and supervision to improve the management of state-owned assets.

Slower growth at China's major SOEs

Slower growth at China's major SOEs

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