• SHARE

The number of bankruptcies at corporations with debts exceeding 10 million yen totaled 1,707 in October, up 12.5 percent from the previous month, Teikoku Databank said Monday.

It was the first time in 13 years that the figure exceeded 1,700, according to statistics at the major corporate research firm. The figure is the fourth worst in the postwar period.

The companies’ total debt in October stood at 739.2 billion yen, down 75.7 percent from September, when the amount hit 3.03 trillion yen for a postwar record. It was the first time in three months that the figure fell below 1 trillion yen, but the third consecutive increase on a year-to-year basis, statistics show.

By industry, four industries — construction, manufacturing, transport and real estate — posted rises in the number of bankruptcies on a month-to-month and year-on-year basis. The manufacturing industry was hit hardest, with 311 firms going bankrupt in October, up 22 percent from the previous month.

On a regional basis, all regions except Hokkaido and Chugoku registered an increase in the number of corporate bankruptcies compared to the previous month. The number was 85 in Chugoku, while it stayed flat at 72 in Hokkaido, the statistics show.

Meanwhile, the corporate research firm said recession-linked bankruptcies totaled 1,216 in October, up 9.9 percent from September and constituting 71.2 percent of the month’s bankruptcies.

In a time of both misinformation and too much information, quality journalism is more crucial than ever.
By subscribing, you can help us get the story right.

SUBSCRIBE NOW