The number of corporate bankruptcies in Japan in October dropped 7.3 percent from a year earlier to 959, the lowest for the month in 23 years, a credit research agency said Monday.
The number fell for the 12th straight month despite the expiry in March of a law for small and medium-sized companies’ debt repayment moratoriums, with bank lending to such firms increasing, said Tokyo Shoko Research, which covers failures with debts at 10 million yen or more.
Liabilities left by bankrupt firms with at least 10 million yen in debts also declined 35.0 percent to 155.35 billion yen in October.
By region, the number of corporate bankruptcies increased in the Chubu and Chugoku regions in central and western Japan but decreased in seven other areas.
By sector, seven out of 10 sectors marked declines. The information and communications sector logged the largest drop of 21.3 percent, followed by the wholesale industry at 20.1 percent.