Resolution 68 spurs record number of new businesses

Resolution 68 spurs record number of new businesses

The number of new startups and businesses established hit a record in June after Resolution No.68-NQ/TW on private economic development was issued, according to a representative of the Ministry of Finance (MoF).

Trinh Thi Huong, deputy director general of the Department of Private Enterprise and Collective Economy Development

At a regular MoF press conference on July 2, Trinh Thi Huong, deputy director general of the Department of Private Enterprise and Collective Economy Development, said that after nearly two months of implementing Resolution 68, the situation is very positive.

Specifically, more than 24,000 new enterprises were established in June, the highest ever. This number is 1.5 times higher than the average of 15,000-16,000. Compared to the 2021-2024 period, the number of newly established enterprises in the month was two times higher.

"In the first half of the year, more than 91,000 enterprises were established across the country, reflecting a strong wave of startups," Huong said.

More than 14,000 enterprises also returned to operations in June, an increase of over 91 per cent on-year. In the first half, more than 61,000 enterprises returned to operations nationwide, an increase of more than 57 per cent on-year.

"For the first time, the total number of enterprises entering and re-entering the market in the month was higher than the number of withdrawals, specifically more than 1.2 times," she emphasised. "Another positive point is that the additional capital of operating enterprises increased by more than 170 per cent on-year."

In addition to enterprises, the number of newly registered business households in June rose by more than 118 per cent on-year and 60 per cent on-month. This number is 24 times higher than the average monthly growth rate of the past two years.

Huong said, "These figures reflect the business community's confidence in the prospect of an economic recovery and development being strengthened. Policies to encourage private economic development have begun to come into effect, contributing to socioeconomic development."

The private economy, including more than 940,000 enterprises and more than five million business households, contributes about 50 per cent of GDP, more than 30 per cent of total state budget revenue, and 82 per cent of the total labour force, according to the MoF.

Resolution 68 issued in early May states that the private economy is the most important driving force of the economy, and a pioneer in science and technology development and innovation.

The resolution sets a target that by 2030, Vietnam will have two million enterprises, with at least 20 large private enterprises participating in the global value chain. The private sector is expected to contribute 55-58 per cent of GDP and account for about 84-85 per cent of the total labour force.

VIR