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The general outlook remains positive, and margins are relatively high, especially in niche segments. However,competition from China is increasing.

Payment behaviour has been good over the last two years and the number of payment delays, defaults and insolvencies is expected to remain low in 2017.

Due to deteriorated results and margins, as well as increased payment delays and insolvencies our underwriting stance remains restrictive for the sector.

After a minor decrease from 45.0% in 2015 to 44.3% in 2016, the percentage of overdue B2B invoices in Asia Pacific increased again this year to 45.4%.

China’s proportion of domestic and foreign past due B2B invoices is almost in line with the regional average and has increased compared to last year.

The proportion of domestic and foreign past due B2B invoices in Taiwan (domestic: 42.7%; foreign: 47.2%) is almost in line with the regional averages.

The proportion of domestic and foreign past due B2B invoices in Hong Kong (domestic: 50.0%; foreign: 50.3%) is higher than that recorded at regional level.

With an average of 53.4%, India had the highest proportion of domestic and foreign past due B2B invoices of all the Asia Pacific countries surveyed.

The percentage of Australian respondents reporting domestic and foreign late payments in 2017 (88.1%) has increased compared to last year (84.0%).

In 2017, Indonesian respondents reported an increased percentage of domestic and foreign overdue B2B invoices (domestic: 45.1% and foreign: 41.2%).

The total value of B2B sales on credit in Japan increased this year to 53.7%. Of the Asia Pacific countries surveyed, Japan was the most credit-friendly.

Late payments from domestic and foreign B2B customers were reported more frequently by respondents in Singapore than by their peers in Asia Pacific.

GDP is forecast to increase by more than 3% in 2017 and 2018, as household spending is spurred by low interest rates and an improving labour market.

Private consumption is driven by wage growth while export growth is driven by Eurozone demand and the country´s improved international competitiveness.

Hungary´s economic growth is expected to rebound in 2017 and 2018 after a slowdown in 2016, but the high level of external debt remains a major weakness.

Despite further growth, Poland is susceptible to a potential end of the Eurozone recovery. Adverse economic policies could dampen investor sentiment.

GDP is expected to grow 4.2% in 2017 and 3.7% in 2018, driven strong private consumption and rising investments including structural funds from the EU.

Despite the current rebound the long-term prospect for higher growth rates is subdued due to structural weaknesses and the negative impact of sanctions.

Growth is expected to remain above 3% in 2017 and 2018, but the economy remains vulnerable to adverse developments in the automotive sector.

GDP growth is robust, but risks in the banking and corporate sectors have increased while high dependence on capital inflow remains a major vulnerability.