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Image header Agence Europe
Europe Daily Bulletin No. 9926
Contents Publication in full By article 39 / 43
GENERAL NEWS / (eu) loans

China is more vulnerable than India. Faced with a downturn in the economic situation, China appears slightly more vulnerable than India, according to a study recently publicised by Coface the loans and insurance company. Coface analysed corporate payment behaviour in these two countries in 2008 and indicated that overdue payments were rising in China and reflected a more imbalanced economy. In this emerging economy, 75% of overdue payments were over the 30 days after the payment due date, compared to 67% a year earlier. 91% of all companies said that they had experienced problems with overdue payments. In 25% of cases (8% in 2007), loans granted to customers create liquidity problems for them, especially for private companies (70% of cases). In India, overdue payments remain within “international standards”, notes Coface. Only 6% of companies tackle the accounts problems of their customers. (I.L./trans/rh)

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