Swedish bankruptcy levels are projected to surpass 10,000 this year.
This figure has not been seen since the 1990s financial crisis, which spread from the banking sector to the wider economy, according to Creditsafe i Sverige AB.
“So far this year, 9,197 limited companies have gone bankrupt, an increase of 24% compared to the same period last year and a material 64% more than two years ago,” Creditsafe Chief Executive Officer Henrik Jacobsson said in a statement Monday.
The agency identified temporary tax deferrals as a key driver of bankruptcies in Sweden, calling the trend “a ticking time bomb.”
Creditsafe noted that real estate companies and car dealerships continued to struggle, while retailers and consulting agencies showed signs of improvement.
The surge in bankruptcies reflects broader economic difficulties affecting various sectors in Sweden.
