Press release: Recovery from debt is easier for bigger companies
Estonian companies’ payment behaviour statistics for the first six months of the year 2010, compiled by Krediidiinfo AS, indicate a significantly decreased increment of companies with payment defaults during the last year. Bigger companies have been the fastest to get rid of debt – they are characterised by decreased tax arrears and a lower increment percentage of payment defaults.
If a year ago, the increment of companies stuck in debt was several-fold, then during the first six months of this year the number of businesses with payment defaults has increased only by 25.2%, reaching a total of 6,155 firms. During the same period, the number of companies with unpaid taxes has increased by 11.6%, amounting to 9,591 companies.
Based on the statistics of the Credit Register, the overall amount of payment defaults of all actively operating Estonian companies (approximately 48,600) was 3.6 billion kroons in the first half of the year 2010, and the overall amount of unpaid taxes was 2.3 billion kroons in the same period.
In terms of economic sectors, the number of companies with payment defaults has increased the most in the areas of information and communication (51%) as well as finance and insurance (43%). The increase of the number of companies owing money to their partners has been the lowest in the sectors of water supply, sewage, waste management (12%) and agriculture (15%). The number of companies with tax arrears has grown the most in the areas of real estate (26%), transportation and warehousing (22%) as well as finance and insurance (19%). The only sector with a decreased number of companies with tax arrears is electricity (-15%).
In terms of counties, the growth percentage of the number of companies with payment defaults has been the greatest in Saaremaa (37.3%), Jõgevamaa (31%) and Lääne-Virumaa (31%), and the smallest in Läänemaa (3.3%). The increment of the number of companies with tax arrears has been the most significant in Pärnumaa (19.8%) and Läänemaa (15.1%), and the smallest in Tartumaa (6.5%) and Võrumaa (8.3%).
28 per cent of actively operating companies have a high credit risk. In certain sectors – construction, accommodation and catering – the share of companies with a high credit risk amounts to approximately 40 per cent.