Number of Polish bankruptcies soars - report

According to an analysis from the Centre for Economic Information released on Thursday, the number of bankruptcies declared in Poland thus far in 2016 increased to 511, from a total of two in 2015. Meanwhile, there were 3591 insolvencies over the same period in 2016, and increase of 70 percent y-o-y, according to the report, with the highest number occuring in Mazowieckie Voivodeship. Insolvencies differ slightly from bankruptcies in that it occurs when one’s liabilities do not exceed their assets and that entity (a person or business) cannot meet their debt obligations on time. Bankruptcy goes one step further, in that the insolvent entity has applied to the court in order to be declared bankrupt. The report also mentioned that the rapid rise could likely be attributed to the recent ease on conditions of applying for bankruptcy status.