Delinquent debts down but SMEs feel cashflow squeeze

Singapore

DELINQUENT debts have steadily declined in the last six months, as small and medium sized enterprises (SMEs) demand faster payment from customers when they agree to do business on credit.

The proportion of debt unpaid stands at 46 per cent in the third quarter of the year, down from 48 per cent in Q2 and 49 per cent in Q1, according to research released on Wednesday by DP Information Group (DP Info), part of the Experian Group of companies.

The sector with the highest proportion of delinquent debts was construction at 72 per cent, followed by hospitality/food & beverage at 71 per cent, …