Figures released by the General Statistics Office of Vietnam, there were 5,900 new enterprises with registered capital of VND96.3 trillion ($4.15 billion) in February, down 41.5 percent in volume and 36.3 percent in value. The reason for a drop in the number of newly-registered firms is supposed to be because the Tet holidays fall on February this year. Average registered capital was VND16.3 billion, up 8.8 percent. Total registered laborers of new firms were 56,000 people, down 48.1 percent.
Average registered capital of newly-established firms reached VND15.5 billion, up 46.7 percent. If including VND531.2 trillion of adjusted capital, total additional capital into the economy in the first two months is VND778.6 trillion ($33.54 billion).
There were also 13,692 firms ceasing operation to wait for winding up, 3,156 dissolved firms and 13,519 firms halting operation whereas the number of new firms was merely 15,979. Besides, there were 10,191 firms resuming operation, up 48.2 percent over the same period last year, raising the total number of new and returning firms to nearly 26,200.
In term of business fields, most fields have seen a drop in number of newly-registered firms over the same period last year. Of which, wholesale, retail, automobiles and motorbikes repair field welcomed 6,000 new firms, down 7.3 percent; 2,100 new firms joined the manufacturing and processing field, down 9.4 percent; and 2,000 new firms entered construction field, down 17.2 percent.
The number of newly-established enterprises in the first two months of the year in all economic regions decreased compared to the same period last year with the Southeast region dropping by 20.6 percent, the Red River Delta declining 6.6 percent, North Central and Central Coast sinking by 11.9 percent and Northern Midlands and Mountainous reducing 27 percent.
The number of enterprises temporarily ceasing business with time limit the first two months of this year was 13,519 enterprises, up 20.8 percent over the same period. Especially, 13,692 enterprises have stopped their operation and waited for dissolution procedures, of which 7,843 enterprises were revoked business registration certificates under the 2018 data standardization program to remove previously established businesses but actually no longer in business.
The number of enterprises which have completed dissolution procedures in the first two months of this year was 3,156 enterprises, up 24.8 percent over the same period, of which 2,907 enterprises had capital of less than VND10 billion.
Enterprises completed dissolution procedures were mainly in the areas of wholesale and retail, automobiles and motorcycles repair, processing and construction.