Corporate bankruptcies in Germany rose sharply in 2025, reaching their highest level in more than a decade. According to the Federal Statistical Office, 24,064 companies filed for insolvency, representing a 10.3% increase compared with 2024. On average, one company went bankrupt every 20 minutes, highlighting the pressure facing the German economy.
© Sergii Gnatiuk | Dreamstime
Although insolvencies had already surged by more than 20% in both 2023 and 2024, the pace of growth slowed slightly last year. The 2025 figure is the highest since 2014, though it remains below the peak seen during the 2009 financial crisis, when more than 32,000 companies became insolvent.
Analysts say the difficult economic environment, rising costs and geopolitical uncertainty are key factors behind the trend. Volker Treier, chief analyst at the German Chambers of Industry and Commerce (DIHK), described 2025 as an exceptionally weak year for Germany as a business location. The ongoing Middle East conflict and rising energy prices are adding further pressure on businesses already struggling with fragile supply chains.
Consumer insolvencies also increased, reaching 77,219 cases in 2025, up 8.4% from the previous year.
Some economists are cautiously optimistic about 2026, predicting that corporate insolvencies could decline slightly to around 23,100 cases if energy prices fall and geopolitical tensions ease. However, if energy costs remain high, the number of bankruptcies could continue to rise.
Source: www.welt.de
