Agency Report –
Corporate insolvencies are set to rise worldwide by 5 percent next year, which would be the fifth consecutive increase, according to a forecast by international insurance company Allianz Trade.
In Germany, insolvency activity is expected to remain at 24,500 cases, representing a slight increase of 1 percent, making it the highest level in more than a decade, the company, a subsidiary of the major insurer Allianz, predicted in a statement published on Tuesday.
“In 2026, the number of cases will be at its highest level in 12 years,” a statement from Allianz Trade, which is based in Paris and Hamburg, read.
The consequences of trade conflicts could soon test the resilience of businesses, said Allianz Trade chief executive Aylin Somersan Coqui. She added that the risk of domino effects is increasing.
Another risk, according to the report, lies in the surge of new business formations in Europe and the United States. Start-ups face a disproportionately high risk of insolvency.
An end to the artificial intelligence (AI) boom, similar to the dot-com bubble of the early 2000s, could also trigger a shock, the study noted.
In Germany, this could result in approximately 4,000 additional insolvencies if a potential AI bubble were to burst.
A turnaround is expected in 2027, particularly in Germany, where the company forecasts a decline in insolvencies of 4% to 23,500 cases. The authors attribute this to government economic measures that are beginning to take effect. Globally, they expect a 1% decline.
