Carinthia's company insolvencies explode: a year of shadows!

Carinthia's company insolvencies explode: a year of shadows!

Kärnten, Österreich - The economic situation in Carinthia deteriorated dramatically in 2024, as the extensive insolvency figures show. In a common way, almost 6,800 companies in Austria slid into bankruptcy, with the number of company slides increasing to terrifying 376 cases in Carinthia. In particular, this development has hit the gastronomy, the construction and the manufacturing trade, where the bankruptcies climbed massively. While the overall debt of the insolvent companies is around 350 million euros, the ASAP group stands out with a huge debt mountain of around 140 million euros, followed by other large companies. As reported kaernten.orf.at , the bankruptcy quota in the solar and photovoltaic industry has been quadruplating, an alarming sign that indicates the difficulties in this sector.

increase in bankruptcies in Carinthia

The number of insolvency proceedings opened at the Carinthian Regional Court rose by over 55 percent compared to the previous year, which indicates a worrying trend with 218 procedures. The experts attribute this situation to the ongoing economic challenges. Even if the private bankruptcies have dropped by around six percent with 640 cases, the general image of debt in Carinthia remains critical. A decline in private bankruptcies does not necessarily mean relaxation, since the average debt per person still increases, such as gailtal-journal.at reported.

The numbers illustrate the increasing financial difficulties that affect many Carinthian companies and households. It is estimated that the number of bankruptcies will continue to increase in the coming years, which also contains precarious economic stability in the region. In particular, the middle class, which suffers from the increased interest rates, is considered particularly vulnerable. The country is fighting to break the wave of bankruptcy and support the companies concerned before further companies plunge into the crisis.