The US will see 62,000 companies go bust next year, compared with 42,000 this year and 28,000 last year, says a report by Euler Hermes, part of German insurer Allianz.
The absolute numbers, however, pale in comparison with the figures from western Europe, where the larger number of small companies mean insolvencies are expected to rise by a third from 149,000 last year to 197,000 next.
“The financial crisis will increase the risk of bankruptcy dramatically, particularly next year,” said Romeo Grill, chief economist at Euler Hermes. “There will be an explosion in the US but also big rises in Europe and especially the UK.”
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