Thursday, 28 May 2026
Late payments and rising bad debts are placing increasing pressure on German companies, according to the latest payment behaviour survey published by Atradius.
The report found that 87 percent of surveyed businesses experienced payment delays in business-to-business transactions, above the Western European average of 77 percent. Companies cited customer liquidity problems, internal approval procedures, banking delays and complex payment processes among the main reasons for slower payments.
According to the survey, tighter lending conditions and higher borrowing costs are increasing dependence on supplier credit as a source of financing. At the same time, German companies continue to apply relatively cautious credit practices compared with other Western European markets.
Atradius said many suppliers now limit payment periods to a maximum of 30 days in an effort to protect liquidity and reduce exposure to delayed receivables.
The report also highlighted growing concerns over bad debts. Around 10 percent of surveyed companies stated that unpaid receivables accounted for at least five percent of their total B2B invoice value, creating additional pressure on profitability and working capital.
Approximately one in five companies surveyed said they had delayed payments to their own suppliers due to payment problems further along the supply chain.
Frank Liebold, Country Director Germany at Atradius, said the combination of economic weakness, geopolitical uncertainty and rising insolvencies continues to weigh on the business environment, particularly for export-oriented companies.
The survey found that 34 percent of respondents expect insolvencies to increase further, while 52 percent believe insolvency risks will remain at current elevated levels.
Businesses identified a further economic slowdown as the main threat to payment stability, followed by cost pressures and geopolitical risks.
The findings are based on a survey of 210 German companies conducted during the first and second quarters of 2026.
