Brandenburg Faces Rising Insolvencies as Political Debate Intensifies

Economic pressures, including high energy costs and reduced consumer spending, fuel insolvencies while SPD and AfD propose contrasting solutions.

Brandenburg recorded a 9% increase in company insolvencies in 2024, totaling 3,680 cases, with 3,176 employees affected—more than double the previous year.
Economic output in the region declined in 2024, compounding financial challenges for businesses, particularly small and medium-sized enterprises.
The SPD, led by Wirtschaftsminister Daniel Keller, advocates for federal infrastructure investments and lowering energy costs to stimulate economic growth.
The AfD attributes the insolvency surge to high energy prices and bureaucracy, calling for the removal of EU sanctions on Russia and resuming Russian oil imports at Schwedt's PCK refinery.
Brandenburg plans to ease administrative burdens on businesses by raising the threshold for direct public procurement of construction and services to €100,000 from €1,000.