Germany's national debt hits record €2.819 trillion, Bild newspaper reports

Germany’s public debt exceeded 2.819 trillion euros, reaching a historic high. At the same time, the number of bankruptcies of enterprises and the number of applications for loss of work is growing in the country, the Bild newspaper reports with reference to data from the Pleite-Uhr (Bankruptcy Counter).

Since the beginning of the year, 21,303 cases of bankruptcy of legal entities have been recorded in Germany. The calculation model estimates the rate of business closure at about one company every 20 minutes. In the period from 24 to 28 October, 357 enterprises were declared insolvent.

Among the companies facing financial problems were the paper factory Tullau Pappen, which worked for about 150 years, and the plant Aios, which supplies automotive components for Mercedes-Benz. About 300 employees are at risk of being laid off at Aios.

Negative dynamics are also observed in the labor market. Since the beginning of the year, the number of registered applications for job loss has reached 5,935,856. The model shows an increase of about one person every four seconds.

The latest official data from the German Federal Statistical Office and the Federal Labor Agency are used for the calculations. The system takes into account court decisions to initiate bankruptcy proceedings, measures to protect the property of debtors and refusals to initiate cases in cases where companies do not have the funds even to cover court costs.

Germany has experienced a prolonged economic downturn in recent years. Among the factors that affected the situation, the source material called the coronavirus pandemic and the cessation of Russian gas supplies.