Fewer bankruptcies in Belgium during the summer

Fewer bankruptcies in Belgium during the summer
Credit: Belga

During the months of July and August, the Belgian company courts pronounced 749 bankruptcies, which is less than in 2020 (-22%) and even in 2019 (-45%), according to the latest figures of the Graydon information office.

The figures confirm the trend of recent months: since the start of the coronavirus pandemic, the number of bankruptcies has remained limited.

In the first eight months of this year, there were 4,038 bankruptcy judgements, more than a third (-34.2%) fewer than in 2020 and about half as many as in 2019 (-54%).

The decrease is most significant in Brussels (740 bankruptcies or -39.2%), followed by Flanders (2,109 bankruptcies or -35.8%) and Wallonia (1,149 and -27.7%).

Graydon stated that the legal moratorium on bankruptcies imposed twice by the government is the most important cause of this decrease, as it means that debts to tax authorities or the National Social Security Office (NSSO) are temporarily not subject to summons.

Additionally, there is the reform of the judicial reorganisation procedure and a number of support measures. According to Graydon, without these measures, twice as many companies would have experienced difficulties during the coronavirus pandemic.

The Brussels Times

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