A major breakthrough in China’s reform of state owned enterprises. The Shanghai Securities News reports, refining giant Sinopec’s board members approved to restructure its oil product sales business, and to open the downstream business to private capital.
The restructuring will be carried out after evaluation of assets and liabilities. But Sinopec didn’t specify how big a stake will be held by private capital. Analysts say the move is a milestone in breaking state firms’ dominance in the energy sector, and more SOEs are expected to follow suit.
The National Development and Reform Commission said recently China has entered a crucial period to deepen reforms, especially to diversify the shareholding of SOEs.
Source: CCTV
