Lisbon, Aug. 6, 2024 (Lusa) - The number of insolvencies in Portugal rose by 16% year-on-year to 2,410 by July of this year, while the number of companies set up fell by 3% to 30,884, according to credit risk management database, Iberinform, data released on Tuesday.

In July, the total number of insolvencies totalled 309, an increase of more than 26% compared to the same month last year, Iberinform said in a statement, noting that 3,260 companies were created, down 2 % year-on-year.

The analysis showed that in July there was a 53% increase in insolvency declarations requested by third parties, while insolvency requests submitted by the companies themselves rose by 71%.

Closures with an insolvency plan also rose by 50% and declarations of insolvency (closure of proceedings) totalled 1,303, 84 fewer than in the same month last year.

The districts that consistently have the highest number of insolvencies are Lisbon and Porto.

The Lisbon district also has the highest number of companies set up, with a total of 9,695 new companies created up to July, down by 10% on the same period last year, followed by the Porto district with 5,244 companies (-2.5%).

The other districts in which the number of companies created fell the most were Portalegre (-12%), Beja (-11%), Vila Real (-8%), Santarém (-6%), Coimbra (-5.5%) and Setúbal (-5%).

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