Germany experienced a 10.7% year-on-year increase in insolvencies for August, as reported by the federal statistics office on Wednesday. This rise underscores the continuing economic challenges faced by companies in Europe’s largest economy.
Insolvency rates have remained in double digits since June 2023, with a brief respite in June 2024, when the year-on-year increase slowed to 6.3%, according to the office.
For the first half of 2024, German courts recorded 10,702 corporate insolvencies, marking a significant 24.9% increase compared to the same period the previous year.
The transport and storage sector saw the highest number of insolvencies, followed by the construction industry, business services such as temporary employment agencies, and the hospitality sector.
