The German economy is facing new challenges, especially in the SME sector. The latest findings of the KfW SME Panel paint a picture of dynamic changes in the financing environment for small and medium-sized enterprises (SMEs). ). 32% of companies report insufficient creditworthiness/equity. The outlook for 2023 is mixed, as the weak growth prospects mean that SMEs have mixed expectations regarding the development of their equity ratio in 2023. A look at the key findings sheds light on the current situation and possible developments.