Vietnam's business sector recovery remains fragile, with the General Statistics Office (GSO) reporting a slight decline in new enterprise registrations in 2024 compared to the previous year.

While new business formations decreased by 1.4% to 157,200, accompanied by a 1.8% drop in registered capital and a 5.4% reduction in registered employees, a notable surge in companies re-entering the market offers a glimmer of hope.

In December alone, nearly 10,000 new businesses were established, with a total registered capital exceeding VND96.4 trillion ($3.8 billion) and employing over 95,700 people. This marks a 10.4% decrease in new businesses and a 30.4% drop in registered capital compared to November, but employment figures saw a 6.2% increase.

However, a significant positive trend emerged: nearly 76,200 businesses resumed operations in 2024, a substantial 30.4% increase from 2023.

This record-high number of re-entering businesses, exceeding 70,000 for the first time, contributed to a total of 233,400 newly established and re-operational companies in 2024 - a 7.1% increase compared to 2023, and 1.2 times the number of businesses withdrawing from the market.

"This positive trend shows that businesses have gradually adjusted to the economic landscape and are identifying new opportunities," commented Ms. Phi Thi Huong Nga, Director of the GSO’s Industrial and Construction Statistics Department.