SINGAPORE, Aug 19 (Xinhua): Only 47.38 per cent of the payments by companies in Singapore were made on time in the second quarter, down from 51.92 per cent in the previous quarter, Channel NewsAsia reported on Tuesday.
This was mainly due to gloomy economic growth, said the report, citing a survey by D&B Singapore, a commercial information provider in the country.
The study monitored over 1.5 million transactions by companies through the Singapore Commercial Credit Bureau (SCCB), the report said.
According to the study, the proportion of slow payments rose to 41.1 per cent in the second quarter from 37.88 per cent in the first three months. Partial payments also increased from 10.2 per cent to 11.52 per cent.
All five industries monitored in the study including construction, manufacturing, retail, services and wholesale recorded an increase in payment delays in the second quarter.
Audrey Chia, D&B Singapore CEO, said "The downward trend in payment performance clearly reflects how slower economic growth last quarter has impacted the ability of firms in meeting their debt obligations."
However, Chia also noted that delay in payment is "the most viable option" for firms struggling with the lacklustre economy.
"As global uncertainties continue to prevail, firms will have to exercise greater flexibility in adapting their cash flows and credit management policies according to volatilities of the macroeconomics environment. Partial payments may be the most viable option for cash-strapped firms," she said.
More S\\\'pore cos delay payments in Q2
FE Team | Published: August 20, 2014 00:00:00 | Updated: November 30, 2026 06:01:00
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