Money Matters Money-Related Topics Monetary Affairs Financial News Update - Increased numbers of firms seeking bankruptcy protection.
Over the course of the first quarter, a considerably higher number of businesses in Rhineland-Palatinate sought bankruptcy protection compared to the same period last year. The Statistical Office reported that 222 companies filed for bankruptcy during this time frame, marking a 37% increase from the 162 companies who did so in 2023. This development poses a potential threat to approximately 3,380 employees, equal to the number of jobs at risk in the last decade. Many of these bankruptcies were submitted by companies operating within the construction industry.
Quite the opposite occurred with regards to consumer bankruptcies, as they notably dropped by 9.7% to reach 700 cases. Nonetheless, the overall financial liability owed to creditors saw a 3.2% uptick, reaching a total of around 37.6 million euros.
Read also:
- In response to the rising number of insolvency applications, the government in Rhineland-Palatinate is considering new measures to support struggling businesses along the Ems River.
- The insolvency of a major company based in Bad Ems, Germany, has resulted in an insolvency application being filed, potentially affecting over 500 employees and causing significant financial loss to creditors.
- According to the latest statistics, Rhineland-Palatinate has seen a 37% increase in insolvency applications compared to the same period in 2023, with the construction industry being particularly affected.
- The increasing number of insolvency applications in Germany has sparked concern among financial analysts, who are predicting a potential shift in insolvency statistics nationwide, including in regions like Rhineland-Palatinate and near the Ems.
