Hessen faces highest corporate insolvency wave in 20 years

In Hessen, Germany, corporate insolvencies have reached their highest level in over 20 years. According to data from the Statistical State Office in Wiesbaden, 1,107 companies filed for insolvency in the first half of the year, representing a 12 percent increase compared to the previous year. The construction industry and the retail sector, including automotive workshops, are the most heavily impacted, with 208 and 205 reported cases respectively.

Economic experts attribute this trend to high bureaucratic hurdles, reduced consumer spending, and expensive energy costs. Additionally, global economic consequences stemming from the conflict in Iran have contributed to rising energy prices. Creditreform has warned that the peak of this insolvency wave may not yet have been reached, suggesting stability will only return with sustainable economic growth.