Czech and French economic risk indicators show diverging trends

Economic indicators in the Czech Republic and France show diverging trends regarding credit and insolvency risks. In the Czech Republic, five-year bankruptcy insurance costs have decreased compared to 2019 levels. This suggests that domestic credit risk remains stable or is even slightly declining, with rising interest rates on government debt being attributed primarily to global economic conditions rather than specific domestic instability.

In contrast, France has seen a significant increase in the cost of bankruptcy insurance, reflecting a notable rise in domestic credit risk. This has caused French five-year debt to become more expensive at more than twice the rate of Czech debt.

Regarding insolvency trends in the Czech Republic, data from the first half of 2026 indicates a rise in corporate bankruptcies and a sharp increase in insolvency filings. While personal bankruptcies are declining, the number of declared corporate bankruptcies rose by approximately 10% year-over-year. Furthermore, insolvency filings for companies increased by 20% between January and August, signaling growing financial difficulties within the business sector, even though a widespread wave of collapses has not yet been declared.