Payment terms for businesses recorded their biggest increase in 2023 since 2008. Globally, 42% of companies had payment terms longer than 60 days at the end of 2023.
By region, the United States fared the best with only 33% having to wait more than two months to be paid. The situation has deteriorated for almost all of the 22 sectors monitored by Allianz Trade. The working capital requirement (WCR), which provides information on the cash flow gap in a company's current activity, is also increasing.