MOSCOW: Japan saw 8,881 companies going bankrupt in the 2023 financial year, ending on March 31, 2024, which is a nine-year record high and a 30 per cent year-on-year growth, according to the data from the Teikoku Databank research institute, reported Sputnik.
“The number of bankruptcies in FY2023 was 8,881 (6,799 in the previous year, up 30.6 per cent), 2,082 more than the previous year. For the second year in a row, the number of bankruptcies increased from the previous year, and approached a high level not seen for nine years,“ the institute said.
Total liabilities stood at 2.44 trillion yen (US$16 billion), 4.1 per cent up on the previous year and passing the threshold of 2 trillion yen for the second consecutive year for the first time in 10 years. This included 19 large-scale bankruptcies with over 10 billion yen in debt.
The service, retail, and restaurant industries were among the most bankruptcy-hit, with 28.7 per cent, 42.5 per cent and 56 per cent year-on-year growth in the number of filings.
Apart from that, there were 313 bankruptcies registered due to “labor shortage” and 837 “bankruptcies due to high prices,“ both record-breaking figures.
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