With the slowdown in the economy, the number of company bankruptcies in Germany continues to rise
For the whole of 2024, this represents an increase of 16.8% compared to 2023, and cases are not included in the statistics until after the first court decision, the statistics office confirmed, which also explained that the actual time to file for bankruptcy is often before the first decision is issued. From court in approximately three months.
Bankruptcy numbers rise
Last October, for which final data are available, the numbers rose significantly, as local courts registered 2,012 corporate bankruptcies – an increase of 35.9% over the previous year. According to the data, creditor demands amounted to about 3.8 billion euros, more than double what they were in the previous year (1.6 billion euros).
Volker Trier, lead analyst at the Federation of German Chambers of Commerce and Industry, spoke of a clear warning signal, saying: “Company bankruptcies reached their highest level in October in ten years.”
Corporate bankruptcy in the new year
According to statisticians, there were 5.9 corporate bankruptcies for every 10,000 companies in October, most of them in the transportation, storage, construction, and hospitality sectors. Individual bankruptcy cases increased by 10.8% to 6,237 cases.
Credit Reform Agency estimates the number of corporate bankruptcies in Germany at 22,400 last year, which would be the highest level since 2015.
In the new year, the numbers may reach the peak of the crisis year 2009 with more than 32 thousand cases. Companies in Germany are complaining of high energy costs, increased bureaucratic burdens, political uncertainty and consumer reluctance to spend.
In addition, the exceptional rules through which the state tried to prevent a wave of bankruptcies during the Corona pandemic have expired.
- For more: Follow Khaleejion 24 Arabic, Khaleejion 24 English, Khaleejion 24 Live, and for social media follow us on Facebook and Twitter
