Japan corporate bankruptcies highest in 5 yrs in wake of pandemic

The number of corporate bankruptcies in Japan for the first six months of 2023 rose 32.1 percent from a year earlier to a five-year high of 4,042, as businesses took on increased debt to stay afloat amid the coronavirus pandemic, a survey by a credit research company showed Monday.

The rise in failures involving liabilities exceeding 10 million yen ($70,000) comes as many companies have begun repaying interest-free and unsecured loans, which were extended by lenders under a government program in response to the pandemic, Tokyo Shoko Research Ltd. said.

Rising material and labor costs have also...