In fiscal year 2024, Japan saw 10,144 bankruptcy filings, the highest in 11 years, as reported by credit research firm Tokyo Shoko Research (TSR). This increase in bankruptcies is attributed to uncertainties surrounding the Bank of Japan's rate hike schedule. The number of bankruptcies in the 12-month period ending in March was the highest since fiscal year 2013, showing a 12% growth from the previous year, excluding the financial and transportation sectors. Despite the rise in bankruptcies, the total debt involved decreased to 2.37 trillion yen in fiscal year 2024 from 2.46 trillion yen in the previous year. The largest debtor was the former Mitsubishi Aircraft Corp, which had 641 billion yen in debt after the termination of its Mitsubishi SpaceJet commercial airplane project. This bankruptcy data serves as an important indicator for BOJ policymakers to assess the overall health of the Japanese economy. Governor Kazuo Ueda has indicated that the central bank will continue to raise interest rates if sustained wage increases, particularly in smaller firms, drive consumption-led economic growth.