Over 105,000 new enterprises were set up nationwide in the first 10 months of this year, a year-on-year increase of 14.6 per cent.

The figure was nearly equivalent to the record high of 2016 at more than 110,000.

The new firms have total registered capital of over VND1 quadrillion (US$44 billion), up 43.8 per cent from the same time last year, statistics from the Ministry of Planning and Investment revealed.

At the same time, over VND1.41 quadrillion was injected into 29,525 operating businesses, raising total capital pumped into the economy to VND2.43 quadrillion, the report noted.

With the positive momentum, the number of new companies in the country is likely to reach 120,000 or even higher by the year-end, representatives from the ministry’s Business Registration Agency told baodauthau.vn.

During the reviewed period, average registered capital of each firm was VND9.7 billion, a rise of 26 per cent over the same period last year.

The retail and automobile and motorbike maintenance and repair industries saw several newly-established companies with nearly 37,820 firms, accounting for 36 per cent of the total. It was followed by the processing and manufacturing sector with 13,450 firms, or 13 per cent, and the construction sector with 13,340 firms, or 12.7 per cent.

In October alone, nearly 11,160 new enterprises were established with total registered capital of nearly VND119.24 trillion ($5.24 billion), up 30 per cent in number of new firms and 48 per cent in registered capital.

Average capital for a business in October rose 14.2 per cent over the previous month to reach VND10.7 billion. The number of labourers working at the newly-established companies in the month also saw a significant month-on-month increase of 41 per cent to some 90,000.

On the other hand, only 1,330 enterprises resumed operation in the month, down 32 per cent month-on-month, according to the data.

Industrial production increases

Viet Nam’s industrial production rose 8.7 per cent in the January-October period against the same period last year, largely supported by a significant increase in production of the processing and manufacturing industry.

Latest updates from the General Statistics Office revealed that in October alone, the index of industrial production (IIP) rose 17 per cent against October 2016.

The increasing rate of 8.7 per cent in the 10-month period was higher than last year’s, which was at 7.3 per cent, statistics showed.

GSO said the processing and manufacturing sector, which accounted for more than 80 per cent of the entire industrial production, jumped by 13.6 per cent in the January-October period and contributed 9.6 percentage points to the overall increase.

This made up for the decline of 7.4 per cent in production of the mining sector.

Sectors posting a significant increase in industrial production included smartphones, components, metal, rubber and plastic production.

However, some products saw declines such as coal (down 0.4 per cent) crude oil (down 11 per cent), liquefied petroleum gas (LPG) (down 10.2 per cent), natural gas (down eight per cent) and automobiles (down by 8.3 per cent).

Northern Bac Ninh Province was among the provinces and cities with the high increase in IIP. The province’s IIP rose by 32 per cent over the same period last year thanks to an increase in production at Samsung’s plant. Hai Phong’s IIP increased by 20 per cent, Thai Nguyen’s by 17.9 per cent, Hai Duong’s by 10.1 per cent, Binh Duong by 9.7 per cent and Da Nang by 9.1 per cent. — VNS