The 2024 Payment Practices Barometer survey for Hong Kong was conducted during Q3 2024, and findings should therefore be viewed with this in mind.

Key takeaways from the report for Hong Kong  

B2B customer cashflow problems spark concern over late payments

• Our survey finds that, on average, 52% of B2B sales transacted on credit by businesses in Hong Kong are currently not being paid by the due date. Bad debts written off as uncollectable stand at an average 4% of all B2B invoices, putting a strain on business finance.
   
• It takes an average one month beyond the due date to convert invoices into cash. Nearly one-third of Hong Kong companies respond by slowing down payments to their own suppliers, while others defer investments.

Widespread optimism despite geopolitical and economic worries

• A positive mood about the outlook for the year ahead is clear in our survey of Hong Kong companies. 48% of businesses tell us they anticipate an improvement in B2B customer
  payment behaviour during the year ahead.There is also optimism about the prospects for insolvency rates among companies in Hong Kong, with 64% anticipating that these will remain unchanged in the year ahead.
   
• Our survey also finds that companies in Hong Kong have a variety of concerns looking ahead despite the generally optimistic environment. One major worry is about how
  shifting domestic and global economic conditions could impact on their businesses, notably a reduction in consumer spending and demand.

The Atradius Payment Practices Barometer is an annual survey of business-to-business (B2B) payment practices in markets across the world. Its findings can give valuable insights into the current dynamics of corporate payment behaviour in B2B trade. It can also help companies doing business, or planning to do so, in the markets polled to identify emerging future trends in the payment practices of B2B customers. 

Interested in finding out more?

For a complete overview of the 2024 survey results for Hong Kong, please download the full report available in the related documents section below. The regional report for Asia is also available for download in the section below.

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