The number of of corporate bankruptcies in July has fallen with 251 firms failing in that month, 34 fewer than in June, according to Statistics Netherlands (CBS). The decline follows an increase in May and June. Most bankruptcies in July were recorded in the trade sector.
Trade is among the sectors with the highest number of businesses. In July, the number of bankruptcies was relatively highest in the sector renting and other business services, the CBS said.
Bankruptcies peaked in May 2013 and have trended downward since then. In April 2017, the number of bankruptcies was at its lowest since December 2007, but it went up again for two months in a row. In July, however, the number of bankruptcies declined again the CBS added.
According to data by Trading Economics, bankruptcies in Netherlands averaged 422.30 Companies from 1956 until 2017, reaching an all time high of 1185 Companies in May of 2013 and a record low of 72 Companies in February of 1956.
In Netherlands, bankruptcies account for insolvent corporations who cannot repay their debts to creditors and carry on with their business. Bankruptcy is governed by the Dutch Bankruptcy Act. Intra-EU cross-border insolvency proceedings are governed by Council regulation (EC) No 1346/2000 of 29 May 2000. Cross-border insolvency proceedings that do not fall within the scope of the EU Insolvency Regulation will be governed by the general rules of Dutch Private International Law.