German bankruptcies hit a record high last year as the fragile state of Europe's largest economy and rising private borrowing led over 100,000 firms and individuals to ask courts to work out their debt problems.
Almost 40,000 firms along with over 60,000 individuals declared themselves incapable of meeting their obligations, according to data from the Federal Statistics Office (FSO).
On the year, these were increases of 4.6% and 31% respectively.
Johann Hahlen, the FSO president, said that the rate of increase in corporate insolvencies was significantly lower in the second half of 2003 and the gloom would likely continue to lift in 2004.
Several famous German names were hit by insolvency in 2003, including television and radio maker Grundig, charter airline Aero Lloyd and family restaurant chain Wienerwald.
Source: Irish Independent
