More than 48,000 enterprises shut down shop or suspended their operations in the first nine months of this year, according to the Ministry of Planning and Investment. — Photo doanhnghiepvn.vn

HA NOI (Biz Hub) — More than 48,000 enterprises were dissolved or suspended their operations in the first nine months of this year, the Dau Tu (Investment) newspaper reported.

This was a 13.8 per cent increase year over year.

The total registered capital of the firms was more than VND408 trillion (US$19.4 billion). Of the total number of companies, 7,030 completed procedures for dissolution and 8,440 registered for a fixed term of suspension of operations. Nearly 33,000 suspended operations while waiting for the deletion of their business registration certificate number, and suspended operations without registration.

The Ministry of Planning and Investment released the data at an annual government meeting in September.

In the first three quarters of the year, about 53,200 new firms were registered with a total capital of more than VND320 trillion ($15.2 billion). The number of new firms fell by 8.7 per cent, but the registered capital rose by 13.9 per cent year over year.

Approximately 12,000 enterprises that had suspended work earlier, resumed their operations, making it a 5.1 per cent increase year over year.

Cao Viet Sinh, former deputy minister of Planning and Investment, expressed his concerns over the operations of firms. "This is a big challenge for the economy in the future," he said.

The ministry's statistics showed that compared with the four previous quarters, the number of new enterprises and the registered capital in the third quarter of 2014 did not show any signs of improvement.

In the third quarter of this year alone, the number of new enterprises was 15,880, with a registered capital of nearly VND89.5 trillion ($4.2 billion). This was a fall of 16.3 per cent and 32.7 per cent respectively, in comparison with the second quarter of 2014, and of 13.5 per cent and 8.7 per cent respectively, compared with the first quarter of 2014. — VNS