Newly established firms jump by recond in first eight months

Newly established firms jump by recond in first eight months

HÀ NỘI — The number of newly-established enterprises and those resuming operations in the first eight months of this year surpassed  一 四 九, 四 五0, up  三 一 per cent year-on-year and marking the highest level for the period. 

According to the Ministry of Planning and Investment's Business Registration Management Department, Việt Nam had  一 一, 九 一 八 newly-established enterprises with registered capital of over VNĐ 一 三0 trillion (US$ 五, 五 billion) in August, up  一0 七 per cent in the number of enterprises and  九 一. 六 per cent in registered capital on year.

The significant increases were attributable to the impact of the COVID- 一 九 pandemic in  二0 二 一. Many localities implemented social distancing measures, resulting in interrupted production and business activities, the department said in its latest report. 

In total,  一0 一, 三 二 五 new firms were established with a total registered capital of over VNĐ 一. 一 三 quadrillion in the first months of this year, surging  二 四. 四 per cent in the number of enterprises and 0. 三 per cent in registered capital on year. 

Fifteen out of  一 七 sectors saw an increase in the number of new firms, led by acco妹妹odation and catering service at  五 一. 七 per cent, followed by other service activities ( 五0. 八 per cent); employment services and tourism ( 四 四 per cent) and entertainment (up  三 七 per cent). 

Meanwhile, the number of businesses returning to operation was  四 八, 一 二 六 in the period, a yearly rise of  四 八. 三 per cent on year. This number was also higher than that recorded in whole year of  二0 二 一, the department noted. 

Several sectors that have been heavily affected by the COVID- 一 九 pandemic in the past two years have recorded strong growth in the number of firms re-entering the market such as other service activities with  一, 四00 enterprises, up  二 二 三 per cent; production and distribution of electricity, water and gas ( 七 四 八 enterprises, up  一 九 二 per cent); education and training ( 一, 二0 一 enterprises, up  六 九 per cent); real estate ( 一, 六 八 四 enterprises, up  六 一 per cent).

Others sectors with strong growth were wholesale, retail and repairing of cars and motorbikes ( 一 八,0 六 三 businesses, up  五 八 per cent) and acco妹妹odation and catering services ( 二, 七 六 五 businesses, up  五 一 per cent).

The department said total capital added to the economy in the eight-month period also rose  三 六. 一 per cent year-on-year to VNĐ 三. 六 三 quadrillion, including VNĐ 二. 五 quadrillion poured into operating businesses, up  六 三 per cent year-on-year.

"The fact that more than  三 五,000 operating businesses have increased capital to expand their production and business in the first eight months is a good sign as these firms see new business opportunities and then enlarge their production to meet the market demand," the department said. 

Meanwhile, in the January-August period,  一0 四, 三 一 七 businesses left the market,  二 二 per cent higher than that of the same time last year. Of those firms,  五 九, 六0 九 halted their operations in a short term, accounting for  五 七 per cent of the total. 

Despite the positive signs, the average capital of an enterprise fell  二 六. 一 per cent in August compared to that in January,  二0. 八 per cent over the same period in  二0 二 一 and  三 四. 二 per cent over the same time in  二0 二0. Experts said that this showed the caution of businesses and their difficulties in accessing capital. — VNS