Men comprise over 70 per cent of Malaysia’s bankruptcy cases since 2022

SHAH ALAM – Men continue to represent the vast majority of bankruptcy cases in Malaysia, accounting for 71.78 per cent of all individuals declared insolvent between 2022 and early 2026.

Selangor Insolvency Director Tengku Intan Suraya Tengku Ismail revealed that out of 23,918 registered cases during this period, 17,168 involved men, while 6,664 cases, or 27.86 per cent, involved women.

An additional 86 cases, representing 0.36 per cent, were classified as unspecified.

These statistics were highlighted during an Insolvency Department sharing session titled ‘Bankruptcy Is Not a Full Stop, but a Comma: Understanding Second Chances’ on Monday.

The age demographics indicate that individuals in the peak of their professional careers are most susceptible to financial failure.

Those aged between 35 and 44 recorded the highest incidence of bankruptcy with 9,535 cases, or 39.87 per cent of the total.

This was followed by the 45 to 54 age group, which accounted for 6,869 cases. Older Malaysians aged 55 and above made up 16.20 per cent of the total with 3,874 cases, while the 25 to 34 age bracket followed closely at 14.28 per cent.

In contrast, young adults aged 20 to 24 were the least affected, representing only 0.28 per cent of the total cases.

Unsecured debt remains the primary catalyst for insolvency, with personal loans being the leading contributor at 10,885 cases, or 45.51 per cent.

Vehicle financing ranked as the second most common factor, followed by housing loans and hire-purchase agreements.

Other notable causes included liabilities as corporate guarantors, credit card debt, and outstanding income tax arrears.

In terms of employment, private sector employees were the most frequent to be declared bankrupt, accounting for 32.07 per cent of the total.

Entrepreneurs and civil servants also featured significantly in the data, while a substantial portion of cases lacked specific employment information.

Self-employed individuals, the unemployed, professionals and government retirees recorded much lower numbers in comparison.