Vietnam’s General Statistics Office (GSO) estimates 36,200 new businesses entered the market in Q1/2024, up 6.9% year-on-year.
Their total charter capital and workforce topped VND332.2 trillion ($13.8 billion) and 258,800 employees, up 7% and 21.9% year-on-year, respectively.
Over the course of the first three months, more than 23,600 enterprises reinstated operations, up 2.4% year-on-year, bringing the total number of new and reopened firms to approximately 59,900 (up 5.1%).
The service sector saw the highest number of business entrants with 27,200 (up 6.9% year-on-year), trailed by industry and construction with 8,700 (up 6.8%) and agriculture-forestry-fisheries with 363 (up 10%).
Meanwhile, as many as 73,900 firms exited the market in Q1, up 22.8% year-on-year, meaning nearly 24,700 ceased operations a month on average.
Of the figure, the number of businesses suspending operations in Q1 rose 24.5% year-on-year to 53,400. Besides, over 15,500 businesses shuttered and were awaiting dissolution, up 21.7%, and another 5,100 completed their dissolution processes, up 10.1%.
Comparing the number of newly-formed enterprises with the withdrawals, the total number of operational enterprises declined 14,100 year-on-year in Q1, the GSO said.