Resolving Insolvency Management: Competitiveness Of National Business Environments1

The problem of insolvency and over-indebtedness has long been present in most of the world economies. Number of insolvent businesses, as well as the value of unsettled obligations has been steadily rising in the past decade. On the other hand legal business environment framework is considered to have an important facilitating/limiting role in treating the problems, arising from the situations of insolvency and over-indebtedness of businesses. The insolvency legislation and monitoring as an essential part of such framework belongs to the most dynamic fields of contemporary research interest. The goal of this paper is to detect the most reformative national economies of the European Union in business insolvency management dealing with speediness and cost management of the resolution process. Th at should reveal the features of a business environment as a platform for finding better indebtedness management possibilities. The methodology entails using World Bank data on efficiency in resolving insolvency across all EU national economies in the period of 12 years. Scoring system is developed and applied to the data.As a result, the countries are ranked according to the intensity of their reformative efforts in the field of insolvency management in the researched period. The features of the highest ranking countries will be analyzed, as the best practices of facilitating role of such frameworks.