Deputy Prime Minister Ho Duc Phoc: Each province has only one lottery business enterprise.

(Chinhphu.vn) – On the afternoon of November 19, Deputy Prime Minister Ho Duc Phoc chaired a meeting on the plan to arrange lottery businesses in Vietnam.

Deputy Prime Minister Ho Duc Phoc chaired a meeting on the plan to arrange lottery businesses in Vietnam - Photo: VGP/Tran Manh

The Ministry of Finance 's report said that, implementing the Party and State's policies on rearranging and reorganizing administrative units at all levels, building a 2-level local government organization model and policies on rearranging state-owned enterprises, the Ministry of Finance has submitted plans to rearrange lottery businesses in Vietnam.

Currently, the whole country has 64 lottery companies which are 100% state-owned enterprises, including 63 Lottery Companies with the People's Committees of provinces and cities as the representative owners and Vietlott with the Ministry of Finance as the representative owner.

Local Lottery Companies are divided into 3 business areas for manual lottery types according to each area and Vietlott does computerized lottery business nationwide.

In which, the Northern region includes 28 Lottery Companies with business operations from Ha Giang province (now Tuyen Quang) to Ha Tinh province.

The Central region includes 14 Lottery Companies with business operations from Quang Binh province (now Quang Tri province) to Ninh Thuan province (now Khanh Hoa province).

The Southern region includes 21 Lottery Companies with business operations from Binh Thuan province to Ca Mau province.

By 2024, the total lottery market revenue will reach 159,477 billion VND, contributing to the state budget will reach 50,907 billion VND.

State budget revenue from lottery is 100% local revenue to serve development investment goals, health, education, social security and welfare.

Many Southern and Central Lottery Companies have large revenue contributions to local budgets such as companies in Ca Mau, Ben Tre, Bac Lieu, Phu Yen, Dak Lak, Khanh Hoa.

However, the Northern Lottery Companies’ contribution to the local budget is very limited. Some companies even operate inefficiently, have accumulated losses for many consecutive years and have negative equity.

Deputy Prime Minister Ho Duc Phoc: Each province has only one Lottery Company - Photo: VGP/Tran Manh

Plan to reorganize businesses and reorganize the lottery market

On that basis, the Ministry of Finance proposes a plan to reorganize enterprises and reorganize the lottery market as follows:

For the Central and Southern lottery markets: The People's Committees of provinces and cities will reorganize the Lottery Companies according to the new provincial administrative unit organization (each province has only 01 Lottery Company). The reorganization is carried out in accordance with the provisions of the law on reorganizing enterprises in which the State holds 100% of the charter capital.

For the Northern lottery market : Reorganize the Northern lottery market according to the parent company - subsidiary model, in which Vietlott is the parent company, and the Northern Lottery Companies are subsidiaries with 100% charter capital owned by Vietlott.

Regarding the reason for choosing Vietlott as the parent company, the Ministry of Finance explained: Vietlott is a large-scale enterprise (VND 500 billion), with experience in applying technology in issuing, distributing and managing lottery business activities.

Since its inception (2016), Vietlott has been operating effectively, with an average growth rate of 16% per year. In the Northern region alone, Vietlott's revenue and budget contribution account for 43.6% and 41.8% of the region's revenue and budget contribution, respectively.

After the arrangement, Northern Lottery Companies can apply Vietlott's technology to improve business efficiency.

According to the Ministry of Finance, the new organizational model has advantages: For localities, the reorganization of the operations of Lottery Companies still ensures that lottery revenue is 100% of the local budget revenue and the revenue will increase after restructuring operations.

For Lottery Companies: Northern Lottery Companies will have access to a larger market because Vietlott will transform its business model, diversify its products with technology applications to increase revenue; gradually reduce and eventually stop issuing manual lotteries; improve operational efficiency, labor productivity, increase average income, and ensure the rights of workers.

For the lottery sector in general: Reform the lottery market, increase transparency towards stable and sustainable development.

The Ministry of Finance submitted to the Prime Minister for approval a plan to reorganize enterprises and reorganize the Vietnamese lottery market; at the same time, it proposed that the Ministry of Finance preside over and coordinate with the People's Committees of provinces and cities to implement the plan and manage and supervise the lottery market after the reorganization to ensure safe and effective lottery business operations.

At the meeting, representatives of the Government Office, Lottery Companies of the provinces (Nghe An, Lam Dong, Hue), the Ministry of Justice, the Ministry of Home Affairs, the Government Inspectorate, Vietlott... gave comments on the contents of the report of the Ministry of Finance (legal basis, principles, objectives, arrangement plan, implementation roadmap; plan to overcome difficulties when implementing the arrangement of Lottery Companies in the Northern region...).

The Deputy Prime Minister assigned the Ministry of Finance to agree on a handover plan with the People's Committees of the provinces - Photo: VGP/Tran Manh

Each province has only 1 Lottery Company

After listening to the opinions of representatives of ministries, branches, and provincial lottery companies, concluding the meeting, Deputy Prime Minister Ho Duc Phoc stated: Firstly, to unify management and ensure the efficiency of business operations, each province should have only one lottery company (not allowing many companies, both to avoid dispersion and to incur costs in management and organization of the apparatus; easily leading to internal competition, affecting business results...).

However, the Lottery Company in the province has the right to establish a number of branches or offices in different locations according to the hierarchy to both take advantage of the current headquarters, facilitate the operation and management of agents, reduce operating costs, and reduce the load on the head office.

Second, for the 8 localities where the Provincial People's Committee has agreed to transfer the Provincial Lottery Company to the Ministry of Finance - represented by Vietlott (due to ineffective operations, even losses, need to innovate in management, operating methods, technology and products...), Deputy Prime Minister Ho Duc Phoc stated: Law 68/2025/QH15 on Management and Investment of State Capital in Enterprises has taken effect from August 1, 2025. The law stipulates forms of capital transfer between owners. Thus, there is a full legal basis to carry out the transfer of ownership between the Provincial People's Committees to the Ministry of Finance.

Regarding this issue, the Deputy Prime Minister assigned the Ministry of Finance to agree on a handover plan with the People's Committees of the provinces; at the same time, he clearly stated: "Even if the transfer is to Vietlott Company, the Ministry of Finance must still be responsible for managing the charter capital, managing the company, and taking responsibility for Vietlott's operations."

Deputy Prime Minister Ho Duc Phoc also emphasized the need for the Ministry of Finance to use assets and labor effectively and promote sustainable and effective development of lottery companies after the merger.

Third, the Deputy Prime Minister requested the Ministry of Finance to report to the Government Party Committee to report to the Politburo for comments on the developed plan.

At the same time, the Deputy Prime Minister requested the Ministry of Finance to promptly submit to the Government a Decree guiding the implementation of Law 68/2025/QH14.

In addition, to facilitate the operation of Vietlott Company after receiving the Lottery Company from the provinces, the Ministry of Finance must calculate very carefully and clearly, and propose solutions to handle the root causes of problems related to product issuance between F1 and F2 enterprises.

Tran Manh

Source: https://baochinhphu.vn/pho-thu-tuong-ho-duc-phoc-moi-tinh-chi-co-1-doanh-nghiep-kinh-doanh-xo-so-102251119170016913.htm