The creation of new companies fell 10.1% in January this year, while the number of insolvent companies increased by 15.8% year-on-year, continuing a concerning trend started in June last year, according to IGNIOS.
Details provided in the risk management company’s report on business and bankruptcy showed that "at the start of the year, the business dynamics in Portugal presented less positive behavior than in the previous two years."
As for corporate insolvency, in January this year 689 companies were registered as insolvent in Portugal, an increase of 15.8% over the same month in 2015.
"It's too early to determine if this is a trend that will gain traction in the course of the year, but it is certain that a trend has been evident since the middle of last year. The performance of the economy and especially internal demand will be decisive for the evolution of this indicator," says the CEO of the company, António Monteiro.
The pain remains outside the Algarve with Santarem, Coimbra, Viseu and Setúbal standing out with increases in insolvencies of between 50% and 116% Oporto recorded one of the most significant increases in insolvencies, up 19.8%.
Retail, wholesale and anything to do with vehicles continue to go bust, as well as a concerning number of restaurants but construction firms, as ever, lead the field.
As for company start-ups, the 10.1% drop mostly was due to fewer hotels and restaurants opening up.
