The highest insolvency rate in the region, of 7.61%, was registered by Serbia, which has a small number of active companies, according to a Coface report.
The report shows that 27,145 insolvency procedures were set off in Romania in 2013, double compared to Hungary where there are 30% fewer active businesses, and 300-fold higher than Poland, considering that the number of active businesses is four times higher.
“The insolvency phenomenon has seen a rising trajectory in Romania, especially during the post-crisis period of the last five years, considering that Romania generates around 40% of total insolvencies started throughout 2013 in CEE, weighing only 6% in overall active businesses in the region,” Coface Romania country manager Constantin Coman said in a statement.
Poland and Latvia are expected to see a decrease in the number of firms going insolvent in 2014, while other countries are expected to witness increases, with the Czech Republic, Hungary, Romania, Croatia and Slovenia seen registering the highest increase in the number of insolvencies.
Over 120,000 companies in Romania went insolvent in the last four years.