BAD NEWS: Bankruptcies in Germany expected to hit 20,000 in 2024
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A Note I wrote to Boers: How I awakened to the Jewish Issue and was shocked
This is a note I wrote to some folks I know. JanI USED TO HAVE JEWISH BEST FRIENDS, EVEN IN JERUSALEM IN ISRAEL, I WAS IN A SYNAGOGUE I USED TO BELIEVE EVERYTHING JEWS TOLD ME: I used to know a lot of Jews, and some of them were best friends. Theyd visit me or Id visit them. I worked with Jews.
An increase in bankruptcies is expected year-over-year in 2024, with this number expected to hit 20,000 by the end of the year. Figures in October show bankruptcies filed rose by 22.9 percent compared to the same month last year, according to data released by the Federal Statistical Office on Thursday.
“The current wave of insolvencies is the result of a perfect storm of long-term economic weakness and drastically increased costs,” said economist Steffen Müller from the Halle Institute for Economic Research (IWH).
The development is “worrisome,” said the German Chamber of Industry and Commerce (DIHK). “Falling demand from home and abroad, high costs for energy and skilled workers, considerable burdens from taxes and bureaucracy. All of this is putting pressure on business prospects and the financial situation,” said DIHK SME expert Marc Evers.
Last year, there were 17,814 bankruptcies. At the current rate, there will be approximately a fifth more bankruptcies in 2024. However, these numbers need to be put in context. Historically, there were often far more bankruptcies over the last three decades. For instance, during the 2008 financial crisis, there were 33,000 bankruptcies.
A cause for future concern is the high number of companies that say they are “acutely” concerned about their economic existence, which according to the Munich-based Ifo Institute, reached 7.3 percent in an October poll.
However, bankruptcies are not the only issue. Many top firms, including VW, Bosch, Ford Germany, and ZF are enacting massive cuts on their workforce and operations in Germany.
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