Hanoi (VNS/VNA) – Vietnam witnessed a remarkable surge in the establishment of new real estate companies in January, with the registration of 625 new firms, representing a 130% increase from the same period last year.
According to recent data from the National Statistics Office (NSO), nearly 24,200 new companies were registered across various sectors last month, with a total registered capital of 180.9 trillion VND (7 billion USD), marking a 127% increase from the previous year.
The surge in entrepreneurial activity has also led to a rise in employment, with nearly 108,200 new jobs created, a 33% increase compared to January last year.
While the increase in new real estate companies is a positive sign, it does come alongside a notable rise in company closures within the sector.
During the same month, 266 real estate firms dissolved, reflecting a 118% increase year-over-year.
Despite the significant growth in the number of new companies, the average registered capital for each new firm has decreased to approximately 7.5 billion VND, down 23% from the previous month and 15% year-over-year.
However, sector optimism is bolstered by the return of businesses that had previously suspended operations.
January saw over 24,500 companies re-enter the market, with total entries and re-entries reaching nearly 48,700, an impressive 46% increase compared to the same month last year.
On the downside, approximately 54,300 companies registered temporary business suspensions, highlighting the pressures faced by many firms.
In the context of this dynamic environment, analysts are observing the ongoing restructuring within the real estate sector, where businesses with a stronger capacity to adapt are expanding, while weaker companies are forced to exit./.
VNA
