Allianz Trade Report: Italy Slowest to Pay in Export Transactions

Allianz Trade has released new data indicating significant variations in payment times across export markets. The analysis, which examined 36 countries and data from 24,000 companies, found that Italy has the slowest payment culture, with businesses taking an average of 66 days to settle invoices.

The report highlights a divide in payment speeds, with Northern European countries and South Korea (averaging 27 days) demonstrating quicker settlement times compared to Southern European nations like Spain, which averages 62 days. This data provides crucial intelligence for companies considering new export destinations.

Allianz Trade suggests that companies can mitigate the risks associated with slow international payments by understanding country-specific payment terms and establishing clear contractual agreements. The report also points to financial solutions, such as invoice financing, as a way to improve cash flow, though these may come with additional costs.

While payment speed is a critical factor, the company notes that businesses should also consider other market entry elements, including local regulations and trade agreements, when developing their export strategies.