Insolvency
Global insolvencies
- how we stack up - and what to expect next By Andrew Spring MICM*
Andrew Spring MICM
In 2020, there was plenty of discussion about the looming global insolvency time bomb as a result of the pandemic, with predictions of an insolvency “tsunami” being touted on street ‘zoom’ corners and throughout mainstream media. However, with governments around the world scrambling to save companies battered by the pandemic and rolling out major support measures, those figures have been readjusted in many parts of the world.
The various business support measures implemented at all levels of government have resulted in the unlikely decrease in businesses entering external administration during 2020, highlighted in the recent AICM Risk Report 2021. However, locally, and around the world, zombie companies are coming to the surface as the measures come to an end. In its report 2021-2022: Vaccine Economics, trade credit insurer Euler Hermes states: “The broad-based extension of ‘temporary’ support ➤
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