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The diversification of the Russian economy, made necessary by a slump in oil prices that is set to last, is coming up against structural constraints that may well have a deleterious effect on its mid-term growth.Read More
Labour shortages in the central and eastern Europe region: an opportunity for households but a threat for local companiesRead More
A survey on corporate credit risk management, to which 1,017 Chinese companies responded, reveals that corporate payments improved in 2016, with only 68% of the respondent companies experiencing overdue payments in 2016 (...)Read More
Country and sector risks worldwide - Business confidence is picking up again, despite persistent political riskRead More
RMB depreciation, capital flow measures and new monetary stance: What are the implications for Chinese corporates?Read More
“The second half of 2016 marks the beginning of the transformation of Coface. We delivered a net profit of €41.5m in the year, successfully closed the transfer of our French State export guarantees activity, and launched our 3-year strategic plan, Fit to Win, the (...)Read More
As part of the implementation of the three-year strategic Fit-to-Win plan, aimed at positioning Coface as the most agile global credit insurer on the market, changes are to be made to the Group's Executive Committee, effective from 3 April 2017.Read More
Coface’s payment survey confirms that sales on credit are being extensively used by Polish companies. Although credit periods have become common practice, it does not mean that receivables are being paid on time.Read More
In May 2015, the IMF highlighted India as “one of the bright spots in the global economy”, mainly due to more effective policies and the end of political uncertainty. Coface expects the country’s GDP growth to reach 7.5%. But to what extent have Modi’s reforms contributed to the recent pickup in growth? Are the improvements in the economy without risks?Read More
Business insolvencies in France at the end of April 2015: The numbers continue to slowly improve, at -2.7% on a year
The favourable swing first seen in 2014 continues. The immediate rise in business insolvencies in the first four months was partly due to a catching up after the artificially low year-end data, because of the industrial action within the court system, which has however resurfaced in May.Read More
The Moroccan economy demonstrated its resilience during the recent global economic crisis and the “Arab Spring”. In what is an increasingly unstable international environment, Morocco has proven to be highly stable.Read More
The recent drop in the price of oil has had knock-on effects for company credit risk around the world. Among the 14 sectors analysed, Coface has identified one big winner and one big loser, with the corresponding assessments revised upwards or downwards.Read More
Latin America is a major producer of commodities and the recent drop in oil prices is impacting the region’s countries in different ways. Which countries could benefit from lower international quotations - and why are others negatively impacted?Read More
In a context of slow inflation (“low-flation”) and flat growth, France is in danger of not being able to escape the vicious circle of falling prices. Is it possible that France, without going to the extremes of the deep depression of the 1930s in the United States and a number of European countries, could experience a lengthy period of price and growth stagnation, such as happened in Japan between 1990 and 2010? And if so, what would it mean for the French economy and its companies?Read More
The pharmaceutical sector’s dependence on the economic situation of European countries proved to be crippling for the industry during the 2008-09 crisis, and once again during the sovereign debt crisis of 2011-12. Particularly weakened by reduced health expenditure in Europe, pharmaceutical companies are now looking to revive, expand into new markets and invest in niche markets to break the deadlock.Read More
North American chemicals, transport, textiles and clothing upgraded from "medium risk" to "low risk"
In North America, sector risk has improved due to the positive economic outlook and the drop in oil prices
In its latest country assessment, Coface has ranked the United Arab Emirates (UAE) A3 , and expects the country’s enonomy to grow by around 5 percent in 2014. The business climate in the UAE has also been assessed at A3, taking into account a number of factors such as the availability of company reports, reliability and the effectiveness of the legal system.Read More
At a time when it appears vital to capture the growth potential in Asia, European airlines are stumbling due to aggressive competition from low cost operators and airlines from the Gulf. Currently, they are among the least profitable in the world. Faced with these new constraints, what changes are conceivable?Read More
Romania at the front line of economic growth in 2013 – but will it catch up after the contraction in 2014?Read More
Coface Morocco announces the launch of TopLiner, a supplemental credit insurance cover, gradually provided in the framework of the “Globalliance” standard contract if the initial guarantee is less than the request or refused.Read More
Coface expects a considerable slowdown of GDP in 2014 (at +1.3% in 2014, down from +2.5% in 2013), due to household consumption growing at a slower pace, investments losing momentum and a weak trade balance. Coface considers 2015 to be a turning point, boosting GDP in the medium term.Read More
Prior to the forthcoming presidential elections in August 2014, Coface is cautious in its assessment of corporate risks in Turkey. If political tensions rise again, as happened in December and January, investors may flee the country which could result in a fluctuation in Forex markets. Such a situation would negatively impact the corporate sector’s external debt stock, already at a record high.Read More
Affected in 2009 by a recession more intense than other European countries under the effect of a sharp drop in household consumption and investment, the British economy is currently distinguished by the strength of renewed growth (1.8% in 2013). Forecast at +2.7% in 2014 by Coface, it could be as dynamic as that of the United States and exceed Germany (2%).Read More
Stabilisation of corporate overdue payments in Asia Pacific but new worries over slowing growth in China
According to the Coface survey of credit risk management in Asia Pacific , corporate payment experience in the region stabilized overall in 2013, with the exception of companies in Australia and China which saw a greater number of non-payments. Slowing growth in China remains a concern for corporates in other economies in the region in 2014.Read More
Companies in the CEE region faced a challenging year in 2013: The already weak economic situation deteriorated and household consumption decreased due to fiscal measures designed to tackle rising budget deficits. Access to credit was further constrained in line with reduced supply and demand for new loans.Read More
Emerging Asia is the new epicentre of electronics innovation. Local companies are now counting on the internalisation of production and research. However, the dynamism of the sector faces new risks, as the gradual rise in unpaid invoices. In 2013, close to 3 out of 4 companies in the electronics & IT sector in Asia-Pacific experienced overdue payments.Read More
After 10 years of frenetic growth, the BRICS are slowing down sharply: for 2014, Coface forecasts growth of on average 3.2 points lower than the average growth these countries registered over the previous decade. At the same time, other emerging countries are accelerating their development. Among them, a ‘top 10’ emerges with good production prospects and sufficient financing to support expansion.Read More
The upturn in the advanced economies (1.9% forecast for 2014, after 1.2% in 2013) is reflected in the upwards revision of the country risk assessments for the United Kingdom and the United States, which join the best risk category.Read More
Coface is optimistic about business risks in the United States and concerned about those of emerging countries such as Brazil and ThailandRead More
The growth potential in Asia remains high, driven by the middle class. Malaysia, South Korea, Singapore and Thailand: household debt similar to that of the United States at the time of the subprime crisis.Read More
Coface downgrades its credit risk assessment in three business sectors: chemicals, pharmaceuticals and automotive
The unique indicator , developed by Coface economists and based on the payment experience of companies recorded by its underwriters, sends an alarm signal to three of the fourteen business sectors analysed.
A new quarterly publication of Coface, focuses on the sector risks in the world. The world economy is analysed by means of 14 business sectors in three large regions: emerging Asia, North America and the European Union. The analysis uses three original indicators – strength of turnover, financial robustness and credit risk – developed by Coface economists and drawn from the payment experience of companies observed and analysed by Coface underwriters.Read More
‘Be prepared’ is the message for UK businesses who want to profit from the excellent trading opportunities in Africa says Coface, the experts in analysing trade credit risk. As Coface announced it was strengthening its own presence on the continent, the company offered advice to businesses who want to expand into one of the fastest-growing regions in the world.Read More
Morocco represents a great opportunity for exporters because of its relative economic stability and the social reforms under way but payment delays are still long, according to Coface, the global credit management specialists, who have just published a detailed report on the country’s business climate.
Grant Williams, Risk Underwriting Director of Coface in the UK and Ireland explains: “Morocco’s potential is recognised by UK businesses as the country is already one of the UK’s Top 50 export markets and exports from the UK to Morocco approached £500 million in 2011.
The situation of companies in the construction sector closely reflects the world, regional and national economic trends. At a time when the world economy is characterized by divergences between countries, with a recession in the euro zone, there are significant disparities between countries and sub sectors. The construction sector was badly hit by the 2009 crisis, and a large number of payment incidents were still occurring in 2011.