Corporate development criteria released

A set of criteria to evaluate the corporate development of the country and of each province and city were released at a press conference on October 13 in the capital.

Engineering equipment is manufactured at Tri Cuong Industrial Company in Hanoi.
The criteria, compiled by the General Statistics Office (GSO) gauge the level of business development in 2017 and from 2010 to 2017.

The 10 major criteria cover operating businesses, new businesses, businesses with resumed operations, businesses with suspended operations, dissolved businesses, workers, capital, revenue, pre-tax profits, contributions to State budget and workers’ income.

In his speech at the event, Deputy Prime Minister Vuong Dinh Hue said the criteria provide a good foundation for State agencies, sectors and localities to draw up proper policies in order to achieve the goal of one million enterprises in Vietnam by 2020.

The Deputy PM also requested localities to utilise the criteria to assess how local businesses have been operating, so as to take appropriate measures in implementing the Government resolutions and continuing to improve local competitiveness.

From 2019, the GSO will release the business development criteria and the white book on the Vietnamese business situation annually on Vietnam Entrepreneurs’ Day which falls on October 13.

As of December 31, 2017, the country was home to approximately 560,400 operating firms, up 11% year-on-year, head of the GSO Nguyen Bich Lam said.

The service sector lured the highest quantity of new companies at over 390,000, a yearly hike of 10.3%. The industry and construction sector came next with 164,000, up 12.2% while the agro-forestry-fisheries sector ranked third with 5,400, up 23%.  

According to the GSO report, 40 out of 63 localities achieved stronger growth in number of new companies than the nation’s average level, such as Bac Giang at 34%, Hanoi at 32% and Bac Ninh at 29%.

Notably, 2017 saw the highest number of newly-established firms with about 127,000, up 15.2% compared to 2016. Among localities recording the strongest yearly growth in number of new enterprises were Ben Tre (up 273%), Ha Giang (55%), Tuyen Quang (53%), Bac Giang (49%) and Vinh Phuc (46%).

As per the data, the total registered capital of newly-formed firms in 2017 stood at VND1.2 quatrillion (US$52.6 billion), surging 45% over the previous year. Average registered capital was VND10.2 billion, up 26% year-on-year.