Report on business registration and foreign direct investment situation in May 2024 nationwide

I. Report on the business registration situation in May 2024 nationwide

In May 2024, the business registration situation in Vietnam had notable changes, specifically:

1. New registration

The number of newly registered businesses is 13,207, with a total newly registered capital of 93,224 billion VND. Compared to the same period last year, there will be an increase of 9.2% in the number of businesses and a decrease of 10.1% in registered capital compared to the same period in 2023.

Also this month, 5/6 regions across the country had an increase in the number of registered businesses compared to the same period in 2023, including:

• Red River Delta (4,210 businesses, up 5.5%);
• Northern midlands and mountainous areas (593 businesses, up 5.3%);
• North Central Coast (1,506 businesses, up 0.8%);
• Southeast (5,665 businesses, up 15.4%);
• Mekong Delta (923 businesses, up 12.3%).

Meanwhile, the Central Highlands recorded a 3.4% decrease in the number of registered businesses compared to the same period in 2023, to only 310 businesses.

The number of registered employees of newly established enterprises in May 2024 is 72,579 people, down 2.7% over the same period in 2023.

2. Return to activity

After the temporary shutdown, the number of businesses returning to operation was recorded as 6,749 businesses.

3. Withdraw from the market

• The whole country recorded 11,391 businesses withdrawing from the market, an increase of 0.8% over the same period in 2023, in which:
• 5,303 businesses registered to temporarily suspend business, down 1.1% over the same period in 2023;
• 4,550 businesses waiting for dissolution procedures, down 3.5% over the same period in 2023;
• 1,538 enterprises have dissolved or ceased to exist, an increase of 25.8% over the same period in 2023

4. Conclusion

Overall, May 2024 shows a diverse picture of the business registration situation in Vietnam. Although the number of newly established businesses increased, the total registered capital and number of employees decreased, and the number of dissolved businesses increased. These fluctuations reflect the challenges and opportunities in the current business environment, requiring flexibility in the operating policies of businesses to adapt to the constant changes in today’s economy.

For the most up-to-date information on foreign direct investment and business registration in Vietnam, including insights into the business environment and support policies, please refer to our latest legal reports and articles.

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References:

Information on business registration situation – Ministry of Planning and Investment

Business registration situation in May and May 2024 – National information publication on business registration, May 28, 2024