Global Bankruptcies Hit 12-Year High — Turkish Firms Grapple with Insolvency Surge

According to Dun & Bradstreet’s 2024 Global Bankruptcy Report, corporate bankruptcies have soared to their highest level since 2012. Turkey is among the hardest-hit countries, with a 23% annual rise in bankruptcies and over 2,200 companies filing for concordat protection in just the first five months of 2025.

A Worldwide Wave of Insolvency

The Dun & Bradstreet Global Bankruptcy Report, covering 47 countries, reveals a sharp rise in business failures across 65% of the monitored economies. The surge reflects a growing disconnect between post-pandemic recovery optimism and the harsh realities of high interest rates, inflationary aftershocks, and tightening credit.

In Turkey, the number of bankrupt companies jumped to 465 in 2024, marking a 23% increase compared to the previous year. This places Turkey among the top tier of countries with the fastest-growing insolvency rates, alongside Germany (+22%), the Netherlands (+30%), and Canada (+35%).

Ukraine Tops the List, Greece Sees Sharpest Drop

Ukraine, still reeling from the impacts of war, saw a record-breaking 126% increase in bankruptcies, followed by Singapore (+40%) and Belarus (+39%). Other developed markets like Canada, Australia, and Luxembourg also reported double-digit rises.

Conversely, some economies bucked the trend. Greece posted a 48% drop, while corporate failures fell in Colombia (-43%), China (-31%), Russia (-26%), and Argentina (-18%).

“The Era of Artificial Recovery is Over”

Dun & Bradstreet COO Julian Prower noted in the report’s preface that pandemic-era fiscal and monetary support merely postponed an inevitable reckoning. “As these supports were withdrawn, especially in 2023, the underlying financial fragility of many firms became impossible to ignore,” Prower wrote.

He stressed that businesses with low margins are particularly at risk unless they adopt better cash management, diversify suppliers and clients, and invest in data-driven strategies.

Most Vulnerable: Retail, Construction, and Hospitality

Chief Economist Dr. Arun Singh emphasized that the lingering effects of the pandemic have now converged with macroeconomic headwinds to pressure low-margin sectors such as retail, construction, hospitality, and manufacturing. Companies that failed to adapt to digital transformation have lost their competitive edge, Singh said.

He warned that global insolvency risk would remain elevated into 2025, though some stabilization may occur by year-end, depending on monetary easing and trade normalization.

Turkey’s Concordat Explosion: 2,235 Firms in Five Months

Turkey is facing its own corporate reckoning. According to opposition MP Ömer Fethi Gürer, a total of 3,497 companies filed for concordat protection in 2024, and 2,235 more have followed suit in just the first five months of 2025.

Gürer argued that the surge in insolvency filings reflects the government’s economic mismanagement, particularly the pressure on SMEs amid tightening liquidity and rising borrowing costs.

Regional Breakdown: Bursa and Denizli Sound the Alarm

In Bursa, temporary concordat protections doubled year-on-year in the first half of 2025, driven primarily by personal filings and firms in textiles, furniture, and metal production. In Denizli, a historic hub for textile exports, large-scale factory closures, suspended operations, and bankruptcies have become widespread.

MP Yasin Öztürk called the situation a “structural collapse,” pointing to declining capacity at the Denizli Organized Industrial Zone and rising unemployment. “What we’re witnessing is no longer just numbers — it’s a tangible industrial breakdown,” he warned.

Istanbul Leads the Concordat Map

According to the Concordat Tracking Platform, Istanbul tops the list with 1,118 filings, followed by Ankara (529) and Kocaeli (206). Other major cities like Izmir, Bursa, and Antalya are also seeing steep increases.

Notable companies filing for protection include Koç Gültekin Dairy, Bahas Private Healthcare, Ena Automation, Komutan Pet Food, and Başarı Olive Products, among others.

“Exporters Crushed by Currency Policy”

Öztürk also took aim at Ankara’s economic model, stating that artificially low exchange rates, expensive energy, and restricted credit access are suffocating the country’s exporters. “This reckless policy mix is breaking the industrial backbone of Turkey,” he said.

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