“ The COVID crisis created a supply crunch. Now we are headed towards a demand crunch. Higher costs are one thing. But if they can't be passed on to customers or if demand drops off, we're going to see a significant number of companies in financial distress. ”

Gonzalo Montes Amayo,
KPMG in Spain

“ Many European companies took on a lot of debt during the pandemic. And they have emerged into a very different world. So now they are being forced to take another look at their underlying business model. Clearly across the EMA region, a crisis is looming. However Executives know they need to invest into transformation if they want their companies to remain viable over the long term. ”

Baréma Bocoum,
KPMG in France

“ The combined effects of higher inflation and geopolitical uncertainty mean there are increasingly less safe sectors. Business leaders can't wait until they've lost liquidity or run out of working capital. They need to start thinking about the bigger picture now. ”

David Fletcher,
KPMG in the UK

“ The automotive OEMs are experiencing a lot of supply chain problems. Some of them - like supplier insolvency - can often be solved with cash. But some can't. I think we're going to see a much higher default rate amongst suppliers over the next two years. ”

Florian Rieser,
KPMG in Germany