Last month was the darkest bankruptcy February in Sweden in decades.
Bankruptcies the number rose to its highest level in decades in Sweden last month, according to the Swedish credit rating companies.
According to the statistics of the credit rating company Creditsafe, 908 companies filed for bankruptcy in Sweden last month, which is 62 percent more than a year earlier.
According to Creditsafe, this is the highest February figure since 1994, when the Swedish economy suffered from the bursting of the housing bubble and the country's financial crisis.
Also according to UC owned by the Finnish Enento Group, formerly Asiakastieto Group, the number of bankruptcies was in record numbers last month.
According to UC statistics, the number of companies that filed for bankruptcy increased by 64 percent from the previous year, and the number of bankruptcies this year has been the highest in several industries for at least ten years.
Creditsafe managing director by Henrik Jacobsson according to Sweden's business life is “in the eye of the storm”, because new record numbers are being reported every month.
“February was the 19th consecutive month of growth in bankruptcies, and several industries have really grim numbers,” says Jacobsson in the announcement.
The background of Sweden's high bankruptcy rates are the same economic problems as the Finnish economy is currently suffering from. The rise in interest rates has slowed down housing construction and rapid inflation has slowed the demand for restaurants.
CEO of UC Gabriella Göransson predicts that bankruptcies will increase unemployment in the spring. However, he estimates that the peak in bankruptcy statistics could happen by the summer.
Creditsafe records the most corporate bankruptcies in the hotel and restaurant, consulting and construction sectors.
Since the beginning of the year, bankruptcies of hotels and restaurants have increased by 99 percent, consulting firms by 96 percent, and construction firms by 84 percent compared to the same time last year.
Sweden's biggest bankruptcies in terms of turnover in February were the bankruptcies of the car shop Auto Lounge and Cake, which developed electric motorcycles.
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