Slower growth: experts expect 2019, more bankruptcies

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    The number of corporate bankruptcies in Germany could increase in the Wake of slower economic growth and rising interest rates from the point of view of experts. The economic credit Agency credit reform expects for the coming year, for the first time in years, with a slight increase. The credit insurer Euler Hermes does not expect that the number of corporate insolvencies in 2019 continues to fall. After nine years of decline, first of all, a stabilization was expected. Rising Insolvency, not be ruled out mainly starting from 2020. In addition to the slowdown in economic growth, the prospect of rising interest rates on the credit market suggest, particularly to beech, it said.

    The positive Trend of declining bankruptcies could soon come to an end, it means in the case of credit reform. For the coming year are expected to be an increase in company insolvencies to around 100 cases to 20,000. The experts also pointed out that a small number of companies operating despite the red Numbers, your business does not have set. According to a study by the economic Bureau of 6.8 percent of the firms were affected.

    An increase of 500 cases to 24,000 bankruptcies credit reform expects also in other bankruptcies, such as of Clubs. In the case of the so-called consumer bankruptcies, the economy expects the credit reporting Agency, however, with a further decline of approximately 2600 cases of 66,000. The bottom line is that only a slight decrease in the total number of insolvencies to around 2000 to around 110,000 cases.

    transportation, textile and energy

    Already in the year 2018, had weakened, the decline in company insolvencies compared to the previous years. The Minus was located in the years 2016 and 2017 at 7.0 percent and 6.6 percent, decreased the company’s insolvency in 2018, only 1.2 per cent to 19 900 cases. 2018, approximately 198 were lost 000 Jobs due to bankruptcies.