Companies in Cyprus shut down each month and regardless of the instruments that the Insolvency Service is providing to businessmen, they like to close down their companies as a substitute of making an attempt to maintain it alive.
In line with information from the Insolvency Service, voluntary liquidations in 2020 have been 2,235 from 2,097 in 2019, 2,378 in 2018, and a couple of,497 in 2017.
Throughout the first 10 months of 2020, voluntary liquidations have been 1,669 in comparison with 1,679 final 12 months and 1,650 in 2019.
As revealed by information, there may be low curiosity in private reimbursement plans. Purposes in 2020 have been 102, from 63 in 2019.
Christine Lagarde, President of the European Central Financial institution, stated banks ought to cease financing non-viable companies. As she stated the goal of liquidity injections have been the households and the wholesome companies however banks used a part of this cash to maintain problematic companies alive. The European Central Financial institution believes these problematic companies represent an impediment to growth and is asking banks to guide these companies to chapter.