Fewer bankruptcies in August

© Roel Burgler

According to Statistics Netherlands, 463 businesses and institutions (excluding one-man businesses) were declared bankrupt in August 2014, i.e. 168 down from the preceding month. The decrease is largely due to the fact that August had one court session day less than July. The number of businesses and institutions declared bankrupt in August was approximately the same as in June.

During the period January-August, 4,559 businesses and institutions were declared bankrupt, nearly 22 percent fewer than in the corresponding period in 2013, but still nearly twice as many as in the first eight months of 2008.

Most bankruptcies recorded in the sector trade

The sector trade (wholesale and retail) had the highest number of bankruptcies (113). The number of bankruptcies was also  relatively high in the sector financial services (77) and in the sector specialist services, e.g. consultancy and research (61).

Bankruptcies of businesses and institutions (excluding one-man businesses)

Bankruptcies of businesses and institutions (excluding one-man businesses)

Downward trend

As the number of businesses declared bankrupt in a particular month is closely related to the number of days courts are in session, it may vary considerably from one month to the next. Therefore, the three-month moving average is a more reliable indicator. In August, the three-month moving average was 519 versus 549 in July. The average decreased considerably after a peak mid-2013, but remains relatively high compared to the pre-crisis level. 

More figures can be found in dossier Business cycle.

For more information on economic indicators, the reader is referred to the Economic Monitor.