Key Facts
• In May, 9 companies in Akita Prefecture filed for bankruptcy with debts exceeding 10 million yen.
• This marks the third consecutive monthly increase in bankruptcy cases, a first since 2012.
• Total debt from these bankruptcies amounted to 781 million yen, lower than the previous month.
• A major case involved Asahi Motors, a taxi operator in Akita City, with debts of 470 million yen.
• Tokyo Shoko Research attributes the rise to delayed post-COVID recovery, loan repayments, and interest rate hikes.
Summary
In May, Akita Prefecture recorded 9 corporate bankruptcies, continuing a three-month upward trend not seen since 2012. While the total debt of 781 million yen was lower than April, the number of cases increased. Notably, Asahi Motors, a taxi company in Akita City, filed for bankruptcy with debts of 470 million yen. Analysts from Tokyo Shoko Research highlight challenges such as delayed recovery from the COVID-19 pandemic, loan repayment pressures, and rising interest rates as contributing factors. These trends suggest potential for further increases in bankruptcies.
