TOKYO, May 12 (Xinhua) -- The number of corporate bankruptcies in Japan surpassed 800 in April for the first time in 11 years, highlighting growing economic strain amid rising prices and labor shortages, data from research firm Teikoku Databank showed Monday.
A total of 826 companies with debts of at least 10 million yen (about 67,490 U.S. dollars) filed for legal liquidation or other formal insolvency procedures in April, according to the firm.
This marked the 36th consecutive month that monthly bankruptcies have exceeded the same month of the previous year.
By sector, 215 bankruptcies occurred in the service industry and 195 in retail, both of which were the highest April figures since 2000. The increase is attributed to persistent inflation, which has led to consumer cutbacks and a continued shortage of labor.
While the impact of U.S. tariff measures has not yet directly worsened business finances, Teikoku Databank cautioned that if the currently suspended reciprocal tariffs are reactivated, it could lead to declines in exports and capital investment, and could curb growth in personal consumption. ■
