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Bankruptcies are not reflecting the economic toll of the health crisis yet, although this is likely to change in the months to come, according to Statec. Photo: Shutterstock 

There were a total of 120 bankruptcies during the first month of 2021, compared to 154 in January 2020, according to the national statistics bureau.

Despite the economic and financial turmoil caused by the health crisis, forced business closures and other restrictions do not seem to have made a significant change on bankruptcies in Luxembourg so far. However, Statec expects a spike in the number of bankruptcies during the months to come, reflecting the impact the coronavirus pandemic has had on businesses.

Throughout 2020, courts declared a total of 1,206 bankruptcies–-most of which were holding and investment fund companies–-a slight decrease compared to 2019, a record year, which saw 1,239 businesses across the grand duchy go bankrupt.