Reality Check: Corporate Payment Trend and Sector Risk in China
The overall payment experience in China deteriorated in 2013 compared to 2012.
Key messages from the China Payment Survey are:
- Average credit terms extended in China have become longer comparing to 2012
- Maximum credit terms has generally been lengthened in 2013 compared to 2012
- Overdue situation has also become more common in 2013 compared to 2012, with a rising concern of management
- A higher percentage of respondents told Coface that the average overdue-period has been lengthened
- 45% of the respondents told us that they have seen an increase in overdue amount in 2013, compared to 56% in 2012
China to regulate shadow banking system
Rocky Tung, Asia-Pacific economist at the Coface Group, discusses China Credit Trust Co. on Bloomberg Television's "First Up."