Last year, 14,578 companies filed for insolvency in Germany. This represents an increase of 4.2% in corporate insolvencies in comparison to the same period of the previous year (2021: 13,991 corporate insolvencies). These are the key findings of the analysis of corporate insolvencies in 2022 by the information service provider CRIF.
In 2022, therefore, the number of corporate insolvencies rose again for the first time since 2009. However, insolvencies remain at a low level. Since the introduction of the new Insolvency Code in 1999, only 2021 had fewer insolvencies.
Compared with the previous insolvency peak in 2003, when there were 39,320 corporate bankruptcies in Germany, the number of insolvency cases in 2022 has fallen by more than 60%.
"The main causes of corporate insolvencies last year were high energy costs, existing supply chains problems and high inflation. In addition, consumers were reluctant to spend, with less money available also due to high energy prices and inflation. The resulting loss of spending power also weighed on companies," commented CRIF Germany’s Managing Director Dr. Frank Schlein on the latest figures.
So far, Germany has avoided a severe recession and there is reason to hope that this will continue to be the case. However, it is necessary that the geopolitical situation does not deteriorate further to achieve a decrease in inflation and an improvement in the economic situation.
"Currently, we expect up to 16,500 corporate insolvencies in 2023. This is an increase of almost 13% compared to 2022. However, we are not seeing a wave of insolvencies, but rather a normalization of the insolvency situation in Germany,” added Dr. Schlein.
