According to data from the Business Registration Administration (Ministry of Planning and Investment), the real estate business is under the most pressure and impact of all industries. This is reflected in the number of enterprises entering the market and newly registered capital decreasing by nearly 59% and 54% over the same period last year.

Meanwhile, the number of real estate businesses withdrawing from the market is still high, over 40% over the same period in 2022, the highest level in 17 fields and industries.

Read more: Increasing number of real estate businesses withdrawing from market » Breaking News, Latest World News Updates - VietReader Viet Nam

The Vietnam Association of Realtors, in a report released in early June, also assessed that real estate businesses simultaneously fell into a state of "like people about to drown". The Ministry of Construction, in recent comments, also pointed out that the real estate market has continued the difficulties. Supply decreased, and businesses could not sell goods, and needed cash flow.

The current difficulties of real estate businesses contrast with the impressive growth in the number of units entering the market in the first half of 2021, nearly 45% higher than in 2020.




However, if we look at the business picture in general, the market has some positive signals. New establishments and re-entry into the market in June reached about 21,000 enterprises.

Generally, in the first half of the year, more than 113,000 newly established businesses were returning to the market, an average of 19,000 units per month. Meanwhile, about 100,000 businesses withdrew, or an average of 16,600 units. This number decreased by 6% and 13%, respectively, compared to the average of this year's first 5 and 4 months.

"These are positive signals in the context that enterprises' production and business activities are still facing many difficulties," said the Business Registration Administration.

However, the average registered capital per enterprise in the first 6 months of the year only reached 9.3 billion VND, the lowest in the same period in the past 5 years. The additional registered capital decreased by more than 48% over the same period in 2022.

Difficulties in orders, increased inventories, high raw material prices, while weak purchasing power are why businesses reduce the need for new loans for production. The Business Registration Administration recommends, policies to support, promote trade and remove market difficulties for businesses that need to be accelerated by ministries and branches. Because, when there are more solutions to boost output, businesses will have the resources to repay debts and absorb new capital.

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