Nearly 87,500 firms enter market in eight months

Hanoi (VNA) – Some 87,448 new enterprises were established in the first eight months of the year, registering a total capital of 878.6 trillion VND (37.7 billion USD), a year-on-year increase of 2.4 percent in number of firms and 6.9 percent in capital, according to the General Statistics Office (GSO).

In August, the country had 11,655 newly-established firms with total registered capital of 107.6 trillion VND (4.62 billion USD), posting a 3.5 percent increase in number of the companies and a 11.9 percent drop in terms of capital as compared to the previous month.

The average registered capital of each new firm was calculated at more than 10 billion VND (430,000 USD), rising 4.3 percent from the same time last year.

During January-August, there were 20,942 businesses resuming their operations, growing 9.3 percent year on year.

The new firms employed 734,700 workers, falling 10.7 percent from the same time last year.

By sector, wholesale, retail sale and automobile repair and motorbike industries has the most newly formed companies with 29,600, or 33 percent of the total new firms. It was followed by construction and processing-manufacturing sectors which saw the participation of 11,500 and 10,900 companies, respectively.

The GSO said that as many as 63,235 businesses ceased their operation during the eight month period, up 38.1 percent year-on-year. The number of enterprises fulfilling dissolution procedures rose 17.8 percent to 9,135.-VNA