The resilience of small and medium-sized enterprises was put to the test again last year. But despite all stress factors, the losses to SMEs were moderate. Investments and turnover grew, including on a price-adjusted basis. Still, their profit margins came under pressure, even with part of the costs passed on to customers. Their capital structure, however, is showing itself to be robust overall. They have a comfortable liquidity position and their debt sustainability continues to be ensured. Their equity base remained stable despite the energy crisis. Currently, however, they are sceptical about how their business will develop. The economic outlook is dim, prospects for investment and turnover have clouded over and access to credit is becoming more difficult. These are the findings of the KfW SME Panel 2023, which paints a comprehensive picture of the present situation in autumn of 2023 and on the development of small and medium-sized enterprises during the past year.

KfW SME Panel 2023(PDF, 1 MB, accessible)

Press release