A rotten apple can spoil the barrel

In 2014, business insolvencies will decrease by -12%, as expected. This year also, past dues will register their first drop since 2011 (-30%).

However, our Global Insolvency Index will remain 12% above pre-crisis levels as growth and financing are still constrained in several countries.

In addition, payment terms - as measured by DSO - posted a further deterioration in the first half of 2014. The global average should reach 73 days this year, compared to less than 69 days in 2010.

Last, the number of nonpayments globally should increase by +23% in 2014, mainly because of Russia and China. As a result, insolvencies are expected to decrease by only -3% in 2015, as turbulences will continue to affect the real economy.