Local enterprises pump nearly US$93 billion into Vietnam economy in H1

Total registered capital added to the Vietnamese economy from newly-established and operational enterprises in the first six months of 2019 was VND2,170.5 trillion (US$93.16 billion), according to the Agency for Business Registration under the Ministry of Planing and Investment.

The number of newly-established enterprises in the first six months of 2019 reached a five-year-high of 67,000 with registered capital of VND870 trillion (US$37.54 billion).

Average registered capital per every newly-established enterprise reached VND12.8 billion (US$550,000), up 27.7% year-on-year. 

Most of the newly-established enterprises are in the fields of wholesale, retail sale, automobile repair with 60,000 enterprises (accounting for 90%). Some 4,000 new enterprises registered in the field of real estate, but posted the highest committed capital of VND280 trillion (US$12.08 trillion). 

The number of enterprises suspending operation in the January – June period was 50,700, including 21,000 for a temporary period of less than one year. According to the agency, these enterprises are undergoing restructuring process or looking for new business opportunities. After the suspension period, they could resume operation as normal. 

The Agency for Business Registration referred to previous reports showing the number of enterprises resuming operation is equal or even higher that of suspending operation. 

Additionally, more than 16,700 enterprises have inaccurate business addresses. Such trend is growing and could result in losses of taxes collection, unfair competition and affecting the rights of employees in case enterprises go bankrupt. 

Ngoc Mai