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SA sees significant drop in insolvencies, but challenges remain

5 March 2024

According to Allianz Trade’s latest Global Insolvency Report insolvencies in SA have reached a record low, dropping 13% y.o.y. in 2023. The decrease, which marks the lowest number of cases in over 30 years, is a positive sign for the country’s economy. But, the economic inertia experienced since 2022 will have lingering effects in 2024, resulting in a relatively stable number of insolvencies. It’s expected that a moderate decrease will materialise again in 2025, driven by a substantial economic recovery.

 

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