The number of bankruptcies in France has skyrocketed.

VTV.vn - The number of bankruptcies in France skyrocketed in the third quarter, signaling a record year for insolvencies.

Illustration photo - (Source: economiematin)

After two first quarters of this year that saw a slowdown, the third quarter saw September become the month with the highest number of bankruptcies since 1990. These figures reflect the overall situation of the year, a weak economy , high interest rates, rising energy costs and an increasingly competitive business environment.

Compared to the period 2010-2019, many sectors are recording unprecedented bankruptcy rates such as transportation - warehousing, information - communication and automobile trading. The construction and retail sectors alone account for nearly 40% of the total number of bankruptcies this year.

Following the COVID-19 pandemic and the energy crisis caused by the conflict in Ukraine, many businesses received financial support from the State to overcome the difficult period. However, the end of these measures and the increase in borrowing costs have pushed a series of companies back into loss-making or insolvent situations.

In addition to financial factors, fierce competition after the business boom also contributed to the increase in bankruptcy rates, especially in the construction, service and retail sectors.

In the past 12 months, France recorded 791 bankruptcies in the business services sector, 755 in the personal services sector and 654 in the hotel and restaurant industry, sectors sensitive to inflation and energy costs.

It is forecast that in 2026 France could see around 65,000 bankruptcies - a lower number than this year but still at a historic high.

Source: https://vtv.vn/so-doanh-nghiep-pha-san-tai-phap-tang-vot-100251105134827955.htm