Personal bankruptcies soar in Canada
- Source: Xinhua
- [08:17 August 12 2009]
- Comments
The number of Canadian personal bankruptcies soared in June, due to high unemployment and debt, a government agency said in a report on Tuesday.
The personal bankruptcies in June reached 10,823, up 54.3 percent compared to the previous June's numbers, according to the Office of the Superintendent of Bankruptcy Canada.
Only 7,013 individuals had to resort to bankruptcy in June 2008,a few months before the recession took hold.
The June 2009 numbers represent a 9.3-percent increase compared to the previous month's figures, when there were 9,900 personal bankruptcies.
Some analysts had predicted a substantial increase in consumer insolvencies for 2009 and 2010, as a result of unemployment and heightened household debt.
However, businesses fare better during the same period of time. In June there were 515 business bankruptcies, up 10.8 percent year-over-year.
Meanwhile, for the 12-month period ending June 30, business bankruptcies declined compared to the previous 12-month period. There were 5,832 business bankruptcies between July 1, 2008 and June 30, 2009, down 6.1 percent compared to the year ending June 30, 2008.
