New record expected

Corporate insolvencies continue to rise massively

Corporate insolvencies continue to rise massively by 26.4% to 3363 proceedings in Austria as a whole. The province of Salzburg recorded an increase of 25.2%. The last time there were more insolvencies was at the height of the financial crisis in 2009.

According to Gerhard Weinhofer from Creditreform, the main reason for the rapid rise in company bankruptcies is the ongoing economic downturn. 

According to a Creditreform survey of 1,400 Austrian companies conducted in spring, the business climate of Austrian companies is more negative than at the height of the pandemic, characterized by falling revenues and orders as well as a low willingness to invest.

In a comparison of federal states, Vorarlberg recorded the strongest increase in insolvencies at +74.1%. The highest insolvency rate is in the federal capital with almost 15 insolvencies per 1,000 companies, the lowest in Tyrol with 5 per 1,000 companies. In general, companies in the east are more at risk of insolvency.