Japan bankruptcies rise as COVID relief repayments come due

TOKYO, Jul 11 (NHK) - Corporate bankruptcies rose in Japan in the first half of this year as some businesses struggled to pay back COVID relief loans. The number of firms going bust exceeded 4,000 for the first time in five years.

Private credit research company Teikoku Databank says 4,006 companies went under or began liquidation proceedings in the six months through June. That was up 31.6 percent from the same period last year. The firms each had debts of at least 10 million yen, or about 70,000 dollars.

A total of 304 had received coronavirus relief loans that were effectively interest-free and collateral-free. It was the highest number for a six-month period.

Retail bankruptcies totaled 834, up 45.8 percent. Restaurants were especially hit hard.

The number in the overall service sector that includes hotels was 958, up 23.8 percent.

The researcher said bankruptcies could increase in July and onwards as some businesses face the triple threat of loan repayments, rising prices and a labor shortage.

Source: ANNnewsCH

BOJ Raises Policy Rate to 0.5 Percent

The Bank of Japan (BOJ) has decided to raise its policy interest rate from an annualized 0.25 percent to 0.5 percent. This marks the first rate hike in six months and appears aimed at correcting the historically weak yen.

Severe Rice Shortage Looms in Japan

Japan is facing an unprecedented rice shortage, with recent data highlighting alarming supply-demand imbalances in the domestic market. The Agricultural Newspaper reported on January 10 that the DI (Demand-Supply Index), a measure of rice market balance, reached a record high of 80. This figure indicates a critical shortfall in rice availability, surpassing even last year's levels when supermarket shelves were emptied.

Media Scandal Deepens as Fuji TV Faces New Allegations

The resignation of popular television personality Masahiro Nakai has sent shockwaves through the Japanese entertainment industry. Announced through his agency’s website, Nakai apologized, stating, “I’m truly sorry for this sudden farewell.” His decision to retire has sparked debates over whether this marks the conclusion of ongoing controversies surrounding him and the television networks involved.

Aquarium Director Caught in Endangered Turtle Scandal

Former executives of the Sunshine Aquarium in Ikebukuro, Tokyo, including a former director and three others, have been referred to prosecutors on suspicion of fraudulently receiving management fees by misreporting the number of endangered turtles in their care.

Man Stabs Three Near Nagano Station

Three people were attacked near JR Nagano Station at around 8 p.m., leaving a man in his 40s in a state of cardiopulmonary arrest and two others hospitalized.

MEDIA CHANNELS

MORE Business NEWS

Farmers Voice Concerns Over New Agricultural Law

Japan is facing significant challenges in its food supply chain as new laws and rising prices create widespread concern among farmers and consumers. The recently introduced Food Supply Crisis Management Law, set to take effect on April 1, will prohibit farmers from leasing unused farmland, with severe penalties for violations.

Japan's First Electric Aircraft Cargo Test

A partnership agreement was signed on January 20th to promote cargo transportation using electric aircraft based at Kitakyushu Airport. A test flight to Miyazaki Airport is planned for this summer.

Nissan to Build EV Battery Plant in Kitakyushu

Nissan Motor announced on Wednesday that it will construct a new battery plant for electric vehicles (EVs) in Kitakyushu, signing an agreement with the city and Fukuoka Prefecture.

Expo 2025: A Vision for Japan's Future

Toru Hashimoto, a former governor and mayor of Osaka, and a prominent lawyer, recently shared his insights on urban development, political dynamics, and the future of Osaka.

Nissan to Cut 9,000 Jobs, Focuses Layoffs on Production Sites

Nissan Motor is implementing a workforce reduction plan involving 9,000 employees, with over 70% of the cuts concentrated in production sites, according to a JNN investigation.

Japanese firms pull commercials from scandal-hit Fuji Television

Fallout continues from a scandal involving a woman and popular TV personality Nakai Masahiro, who is best known as a former member of the disbanded pop idol group, SMAP. (NHK)

Japan's corporate bankruptcies hit 11-year high in 2024

Corporate bankruptcies in Japan rose for the third straight year in 2024. It is the highest number since 2013. Rising prices and labor shortages were to blame in many cases. (NHK)

Post-Holiday Blues Drive Surge in Job Resignations

The nine-day New Year holiday, often hailed as a "miraculous break," has come to an end, and everyday life is gradually resuming. However, for some, this period marked a turning point—deciding to quit their jobs. One resignation service provider reported a record-high number of client requests.

< 2 3 4 5 >