Vietnam licenses, welcomes back record 116,900 firms in six months

Vietnam licensed 76,233 new firms and recorded 40,667 rejoining the market in the first half of the year, or 116,900 in total, a record high amid the country’s post-pandemic recovery.

In the period, the number of licensed companies grew 13.6% year-on-year, with registered capital totallling VND882,122 billion ($37.9 billion), down 6.4%, and employment of 514,820 people, up 6.3%, according to General Statistics Office (GSO).

The agriculture-forestry-fisheries sectors saw 1,073 firms licensed, with total capital of VND23,460 billion. The figures for the industry and construction sectors were 19,318 and VND234,090 billion, and for the service sector were 55,842 and VND624,580 billion.

Hanoi and Ho Chi Minh City continued the high growth of newly-licensed firms, with the respective numbers of 14,628 and 22,459, up 9.8% and 11.5% year-on-year.

In the six-month period, 40,667 firms resumed operations, up 55.6% year-on-year, including 2,253 in June.

The most dynamic sectors were wholesale, retail, and motorbike and automobile repairs with 15,381 companies, or 37.8% of the total; construction with 5,015, or 12.3%; and manufacturing and processing sector with 4,493, or 11%.

The country saw 50,909 firms suspending operations temporarily, up 43% year-on-year; 24,703 firms proceeding closure procedures, down 2.4%; and 8,588 others completing closure, down 13.6%.

Among the temporarily suspended companies, the highest figures were seen in the wholesale, retail, motorbike and automobile repairs, construction, manufacturing, and processing sectors.