Decision 40/2026: Vietnam SOE Divestment Framework and CTG Stake Hike

Overview

On August 5, 2026, the Prime Minister issued Decision 40/2026/QD-TTg, setting state ownership ratios for state-owned enterprises (SOEs) for 2026-2030. The decision provides a legal basis for broad divestment and decentralizes approval authority, with notable implications for listed SOEs like VietinBank (CTG), GVR, GAS, and others. While the overall market impact is expected to be limited, individual stocks may see significant changes in ownership structure and free-float.

Key Facts

• Decision 40/2026/QD-TTg was issued on August 5, 2026, establishing state ownership ratio frameworks for 2026-2030.
• CTG (VietinBank) is the only listed company directed to increase state ownership to 65%, a rise of 0.54%.
• The decision follows new legal framework: Law 68/2025/QH15, Decrees 365/2025, 366/2025, and 57/2026.
• Approval for divestment plans is decentralized to ministries and provincial People’s Committees, except for special cases requiring Prime Minister approval.
• Approximately 20 large enterprises and 3 state-owned banks must wait for Prime Minister approval, expected as early as August 2026 based on a 75-working-day process.
• Companies outside the specified groups default to no state ownership, providing a basis for broad divestment.
• KBSV notes that most companies with high or full divestment plans are small- and mid-cap, limiting overall market impact.

What Happened

The Prime Minister signed Decision 40/2026, which classifies state ownership ratios by sector and industry for the 2026-2030 period. This replaces earlier unclear regulations (e.g., Decision 22/2021, Decision 13/2025) that stalled many divestment plans. The decision also delegates approval authority to ministries and provincial authorities, with the Prime Minister only intervening for special cases or deviations from criteria.

According to KBSV Securities, the decentralization significantly reduces administrative hurdles and enhances local oversight. However, the market-wide impact is expected to be modest, as most divesting firms are small- to mid-cap. For large caps like GVR, GAS, and BSR, detailed divestment plans are still pending. Notably, CTG is the only listed company instructed to raise state ownership, to 65%.

Market Context

CTG trades on HOSE at VND 32,200 as of August 12, 2026. The decision to increase state ownership to 65% may reduce free-float, potentially affecting liquidity and index weighting. Other affected tickers include GVR (VND 32,250), GAS (VND 80,000), and BSR (VND 26,500), all on HOSE or UPCOM. The broader market has been awaiting clarity on SOE divestment, which could unlock value and improve corporate governance.

Strategic Significance

For long-term investors, Decision 40/2026 provides a clearer roadmap for SOE divestment, potentially increasing free-float and improving liquidity for many listed companies. The decentralization of approvals could accelerate the process, benefiting mid-caps. For CTG, the state’s increased stake signals strategic importance, possibly supporting stability but limiting private ownership. Investors should monitor how these changes affect each company’s capital structure and governance.

What to Watch

• Prime Minister approval of divestment plans for ~20 large enterprises and 3 banks, expected as early as August 2026.
• Detailed divestment plans from GVR, GAS, BSR, and other large caps.
• CTG’s implementation of the state ownership increase to 65% and its impact on free-float.
• Any follow-up regulations or circulars detailing implementation procedures.
• Quarterly earnings reports from affected companies to gauge operational impact of ownership changes.