AROUND 88,000 FIRMS EXIT MARKET IN JANUARY-MAY

Around 88,000 businesses have pulled out of the market so far this year, official data showed.

Vietnam has seen 55,200 companies temporarily suspending their operations between January and May, up 20.3% year-on-year, according to the General Statistics Office’s report on the nation’s socio-economic performance.

Around 25,500 firms have halted their operations and are awaiting dissolution, surging 34.1% against the year-ago period, while 7,300 others have completed procedures for disbandment, a 6.5% year-on-year rise.

In May alone, the number of companies that have suspended their operations is down 25.1% versus April but up 8.1% year-on-year, at over 5,360. More than 4,700 firms have applied for disbandment this month, while 1,200 others have declared insolvency, dropping 19% month-on-month and 8.7% year-on-year.

On the other hand, nearly 95,000 enterprises have been established or have returned to business in the January-May period.

There have been 61,900 new market entrants with total registered capital of VND568.7 trillion, down 1.6% and 25.3%, respectively. Sector-wise, around 46,500 new service providers, 14,800 industrial producers, and 600 new agricultural-forestry-fishery firms have come into existence.

Over 5,950 firms have returned to the local market in May, bringing the total number of companies resuming operations in the year through May to 33,000, 7.4% lower than the year-ago figure.

Source: The Saigon Times