Coronavirus suspends up to 18,600 firms in Vietnam from operations in Q1

Tuesday | 03/31/2020 10:18

Illustrative. Photo: CafeF

Up to 18,600 businesses were forced to suspend operations in the first quarter of 2020 due to the COVID-19 pandemic, up 26 percent year on year, reported the General Statistics Office.

In the first three months of this year, 29,700 enterprises were established nationwide, up 4.4 percent year-on-year, while 14,800 companies resumed their operations, down 1.6 percent.

However, as manufacturing and processing firms expect the epidemic will end soon, a recent survey predicted that the business performance in the second quarter will improve.

The total registered capital of newly-established firms in the first quarter exceeded VND351 trillion ($15.2 billion) while the total number of workers was over 243,000, down 6.4 percent and 23 percent, respectively.

The average capital of a new firm during the period reached VND11.8 billion, down 10.4 percent year-on-year. The additional capital pumped into the economy by both newly-established and existing companies dropped by 17.7 percent to more than VND903 trillion ($38.5 billion).

► Vietnam declares coronavirus outbreak as national pandemic

Source: VietnamPlus