A rosier picture could be emerging on liquidations and insolvencies
Liquidations hit a low of at least four years in January, while the long-term decline in insolvencies persisted
There were 44 fewer liquidations in January than a year earlier — a fall of 32.6% — and the rolling three-month figure also improved, Statistics SA data showed on Monday. The liquidation figures are volatile, so it is difficult to read a pattern into the latest figures, but the number for January 2017 — at 91 — is the lowest in at least the past four years, according to Stats SA’s historical data. Liquidations peaked at about 270 in January 2013, and have since oscillated in a band between about 125 and 225 for several years, so Monday’s data show a break with the pattern — but it is too soon to say a new pattern has emerged. Stats SA said voluntary liquidations fell by 34 cases and compulsory liquidations by 10 cases. In the three months to end-January, there were 4.6% fewer liquidations than the year-earlier three-month period. Insolvencies have shown a much clearer long-term downward trend since their peak in March 2012, though, and fell 22.1% in December from a year earlier, Sta...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.