Declining company numbers, permanent half-million limit

By: Trademagazin Date: 2024. 12. 19. 13:23

In 2024, the number of partnerships is expected to decrease by 12 thousand, while the number of foundings is only 22 thousand, which is the weakest result in the past seven years. Although the dynamics of terminations remains significant, the number of partnerships remains above 500 thousand.

The November company trend did not bring any surprises; according to OPTEN data, the decrease in the number of partnerships continued in November. By the end of the month, the number of partnerships slightly exceeded 505 thousand, which is 11 thousand less than the data for December of the previous year.

The GDP data of the Central Statistical Office for the first three quarters of 2024 show an increase of only 0.7%, and it is worth counting on this level, or rather a lower value, for the development of annual GDP. Optimistic estimates are tempered by the decline in the agricultural sector this year, the weaker results experienced by industry until October, and the modest growth of the construction industry so far.

“In the current economic environment, entrepreneurs are likely to establish new companies only in the most necessary cases, which can be clearly seen in the establishment statistics.”

– said Csaba Alföldi, company information expert at OPTEN. By November 2024, only 22 thousand new partnerships were registered, which is the lowest value in the same period in the past five years. This figure is particularly noteworthy in light of the fact that even in the first year of the pandemic, 3.5 thousand more businesses were established.