Main information
- Business bankruptcies increased slightly (1.06 percent) in the 1st quarter of 2025, marking the second consecutive quarter of raising bankruptcy.
- Economic uncertainty persists due to factors such as customs prices and geopolitical tensions, affecting sectors such as hotel, transport and construction.
- Despite difficult economic conditions, commercial activity has increased in the sectors of agriculture, forestry, fishing, catering and finance, while decreasing in the mining, manufacturing and retail industry sectors.
The first quarter of 2025 was marked by an increase in business failures in Belgium, according to a recent Altares Dun & Bradstreet report. This increase, although light (1.06 percent), marks the second consecutive quarter of increase in bankruptcy.
Economic uncertainty persists
If inflation has calmed down somewhat, economic uncertainty persists due to factors such as customs prices and geopolitical tensions. These challenges are particularly pronounced in the sectors traditionally vulnerable to economic fluctuations, such as hotel, transport and logistics, and construction.
Despite the difficult economic climate, the commercial activity measured by “the intensity of exchanges” showed a global increase compared to the previous quarter. This growth was the most notable in the sectors of agriculture, forestry, fishing, restaurants and cafes, and finance. However, certain sectors, including mining, manufacturing industry and retail, have dropped to commercial activity.
Companies reimburse their debts faster
It is encouraging to note that companies showed a better financial discipline in the first quarter of 2025, repaying their debts faster than in the previous quarter. More than 65 percent of companies have paid their invoices on time, which reflects a positive trend compared to the quarter and the previous year.
For the second quarter, experts provide for stabilization of the number of bankruptcies. Although uncertainties remain regarding customs prices and consumer confidence, positive factors such as the drop in inflation and the increase in wages could provide certain support for sectors such as hotels and retail.
If you want to access all the articles, subscribe here!
