New businesses employ extra 1 million workers in Vietnam

Vietnam's business environment is picking up momentum with big increases in openings and capital registration, along with a decline in shutdowns in the first ten months.

Figures from the Ministry of Planning and Investment showed 91,765 new businesses have been established so far this year, up 18.3 percent from a year ago. Their registered capital also increased 46.2 percent to more than VND710.6 trillion ($31.8 billion).

Openings in October went up more than 28 percent and registered capital was up 7 percent from the previous month.

The new businesses set up in the first ten months employ more than one million people.

Nearly 22,500 businesses also resumed operations in the first ten months, up 39 percent from a year ago.

The report counted 33,131 businesses that shut down during the period, down almost 29 percent from the same period last year.

According to the General Statistics Office, business has been booming in the real estate sector, with almost twice the number of new businesses and more than three times the amount of registered capital.

The office said in a report that the new legal framework with more support for businesses has paid off.

A government's resolution issued last May requires authorities to create a supportive environment for businesses by cutting red tape.

Another resolution from late last year has reduced the time to issue a business license from five to three days.

Source: VNA