It is also mulling a 30 percent reduction in corporate income tax for companies with revenues of less than VND200 billion ($8.7 million) as it did last year.

Certain sectors are set to benefit from a 30 percent discount in value-added tax.

Fines for delays in paying penalties for last year and this will be scrapped if a company made losses from 2018 to 2020.

The estimated value all these tax breaks is VND20 trillion. Together with others offered this year, the total stimulus measures are worth around VND138 trillion.

The number of companies that registered to suspend operations in the first seven months of this year rose by 25 percent year-on-year to nearly 79,700, according to the General Statistics Office.