Vietnam sees nearly 10,000 newly-founded businesses in January

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Although the COVID-19 shock has shut down many businesses, Vietnam in January still saw nearly 22 per cent more newly-founded establishments than last year.
vietnam sees nearly 10000 newly founded businesses in january
The newly-founded businesses mainly work in the industries deemed “safer” amid the pandemic

About 10,000 businesses were opened during the first month of the year, following data published by the National Business Registration Portal under the Ministry of Planning and Investment. In addition, the average registered capital per enterprise was VND15.4 billion ($669,565), up 3.3 per cent on-year, while total added capital increased by 10.5 per cent or VND395 trillion ($17.17 billion).

The firms mainly specialise in power distribution, water, gas, mining, retail, healthcare, and real estate, among others. This reflects businesses turning towards the least risky industries.

Meanwhile, sectors like retail, construction, and manufacturing were hit the worst, with the highest number of businesses leaving the market (9,585, 3,189, and 3,053, respectively).

As of the end of January, the total number of businesses withdrawing from the market hit 25,752, about 18,000 establishments of which have temporarily halted operations, up 53.4 per cent on-year. The rest are waiting for dissolution or have finished the procedures for dissolution.

Notably, businesses suspending operations hail from all 17 industries with an on-year growth of more than 40 per cent.

Elsewhere, the number of businesses resuming operations in January dropped 23.2 per cent on-year to 6,503.

By My Anh

Nguồn: Vietnam Investment Review

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