, Taiwan

Taiwan’s B2B sector sees bad debt triple

The local chemicals industry has as high as 12% of B2B debt turning sour.

Taiwan’s business-to-business (B2B) sector saw a sharp rise in bad debts written off as uncollectable, to an average of 8% of B2B debt, according to a survey by reinsurer Atradius.

Taiwan’s chemicals industry logged the most souring debt, with an average of 12% of B2B debt going bad, Atradius found.

A majority of businesses polled in Taiwan cited liquidity issues as a growing factor leading to B2B customer payment default.

READ MORE: Taiwan bad loans climb to $2.24b in February

“Almost one third of companies told us they experienced a significant deterioration in Days-Sales-Outstanding (DSO), a threat to both cash flow and to business growth,” Atradius wrote.

As a result, companies polled in Taiwan reportedly cited the need for a credible and strong credit management strategy. 

“There was focus on the internal credit process to manage payment defaults and a notable rise in businesses who either outsourced the issue to a credit insurer or who purchased specific trade finance solutions,” Atradius noted.

Follow the link for more news on

Join Asian Banking & Finance community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Top News

Australian banks' credit risk rises amidst high debt, economic uncertainty
National Australia Bank reported an 8.1% decline in cash earnings.Australian banks face heightened risk of rising credit losses as high household debt levels, elevated interest rates, and global economic uncertainties continue, according to S&P Global Ratings.
Retail Banking
Visa launches new products to boost flexibility, security in APAC
It also partnered with QR payment providers across the region for cross-border payments.Visa has introduced several new products and services aimed at enhancing payment flexibility and security in Asia Pacific.
Cards & Payments