August sees sharp rise in new enterprises, registered capital

August sees sharp rise in new enterprises, registered capital

As many as 20,500 new enterprises were established across the country in August with total registered capital of VNĐ326.1 trillion (US$12.3 billion), up 23.9 per cent in number and nearly 2.8 times in capital compared with July, according to the National Statistics Office (NSO) under the Ministry of Finance.

Average registered capital of a new business reached VNĐ15.9 billion, more than 2.2 times higher than the previous month and up 71.2 per cent year-on-year.

Meanwhile, 12,400 enterprises resumed operations, down 15 per cent month-on-month but up 46.4 per cent from the same period in 2024.

In the January–August period, 128,200 new firms were registered with total capital of over VNĐ1.25 quadrillion, up 15.7 per cent in number and 26.1 per cent in capital year-on-year.

Average registered capital per new firm stood at VNĐ9.8 billion, up 9 per cent from a year earlier.

Additional capital einjected into the economy during the period reached nearly VNĐ4.14 quadrillion, a surge of 105.3 per cent year-on-year.

By sector, wholesale and retail, and repair of automobiles and motorbikes led in the number of new businesses with 55,067, but also topped in the number of firms completing dissolution procedures with 6,628.

The processing and manufacturing industry posted the highest growth in new firms, up 28.6 per cent year-on-year, followed by power, water, and gas production and distribution (up 20.6 per cent).

The construction sector, however, saw a sharp decline of 11.3 per cent in new registrations.

Accommodation and food services recorded the highest dissolution rate, up 46.1 per cent year-on-year, while wholesale and retail, auto and motorbike repair reported the lowest, up 19.2 per cent.

During the first eight months, 81,100 enterprises resumed operations, a year-on-year increase of 41.4 per cent, bringing the total number of newly established and reactivated firms to 209,200, up 24.5 per cent.

In August alone, 6,500 enterprises registered to temporarily suspend operations, down 11 per cent from July but up 22.5 per cent year-on-year.

Another 6,900 firms halted operations pending dissolution procedures, up 56.8 per cent from the previous month, while 3,800 completed dissolution procedures, nearly doubling both month-on-month and year-on-year.

Overall, in the first eight months, 95,000 businesses temporarily suspended operations, up 14.7 per cent year-on-year; 47,800 suspended operations pending dissolution procedures, up 23.7 per cent; and 18,100 completed dissolution procedures, up 31.5 per cent.

On average, 20,100 enterprises withdrew from the market each month. To support business development, the Ministry of Finance has called for addressing institutional bottlenecks, improving access to land and resources, providing interest rate support, and enhancing workforce training.

It is also working on cutting administrative procedures, reducing compliance costs, and introducing tailored tax policies to support small- and medium-sized enterprises and household businesses, with the aim of promoting their transition into larger and more globally competitive firms, alongside infrastructure support in electricity, land rent, and fees. 

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