Rating agencies under criticism: New study shows increasing number of bankruptcies

Rating agencies under criticism: New study shows increasing number of bankruptcies

The 2008 financial crisis shone a spotlight on the work of rating agencies as they were accused of doing a poor job. Before the crisis broke out, many bank bonds received top ratings, which then turned out to be worthless. This memory still resonates today, as rating agencies assess the likelihood of major companies' bonds defaulting.

A study by Standard & Poor's called the "Annual Global Corporate Default Study" offers a comprehensive look at the business world as the agency assesses data from around 7,000 companies from around the world. This data shows a worrying increase in corporate bankruptcies. Despite the criticism of rating agencies, their findings and data are of great importance for assessing the global economic situation. Overall, the increasing number of bankruptcies reflect the unstable state of many companies.

Current developments indicate that companies worldwide are increasingly facing economic challenges. The increasing number of corporate bankruptcies can be due to various reasons, including economic uncertainties, global crises and the consequences of the COVID-19 pandemic. It is important to keep an eye on these developments in order to assess the possible impact on the entire economy. Given the current situation, a precise analysis and assessment of company bankruptcies is essential in order to understand the economic impact and take possible measures to stabilize the economy.