Reports

The Danish economy has regained some of its international competitiveness due to structural reforms that addressed the issue of high labour costs.

With more than 58,000 cases in 2016 the number of business insolvencies was still about 5% higher than before the start of the credit crisis in 2008.

Private consumption remains a key driver of growth in 2017, sustained by higher household purchasing power and further decreasing unemployment figures.

The Irish economy is expected to grow by more than 3% in 2017, but remains highly exposed to economic uncertainties stemming from the Brexit decision.

Italy´s GDP growth is expected to remain subdued in 2017 as international competitiveness remains an issue and the banking sector is still under pressure.

Solid economic growth is expected to continue in 2017 and 2018, but the Brexit decision will most probably affect Dutch industries in the mid-term.

The economic rebound is forecast to remain robust in 2017, but the number of insolvencies will remain at an elevated level despite further decreases.

Sweden´s economic growth is expected to slow down in 2017 to about 2% year-on-year, while business insolvencies are forecast to increase slightly.

Despite rising Swiss exports in 2016, export-oriented businesses production costs had risen relative to their export prices, squeezing profit levels.

In times of increased uncertainty the 7% insolvency decrease expected in 2017 is mainly due to statistical adjustments, but not economic resilience.

2017 is a major election year in Europe. Election gains of populist parties could undermine support for European cooperation and threaten reforms.

The use of credit terms for B2B sales by respondents in Western Europe decreased slightly compared to 2016, stressing the challenging business environment.

There has been a modest increase in the percentage of overdue B2B invoices of Austrian respondents in 2017 (37.4%), compared to one year ago (36.3%).

Despite a strong aversion to granting trade credit to B2B customers, Belgium saw a modest increase in the use of credit- based transactions (31.8%).

The percentages of B2B sales on credit terms in Denmark (56.4%) are, as in previous years, significantly higher than in Western Europe overall (38.8%).

In 2017, 29.3% of B2B sales in France were made on credit, far less than the regional average of 38.9%. This is similar to what was observed last year.

In 2017, the total value of overdue B2B invoices in Germany (40.6%) is in line with the regional average (41.0%) and almost at the 2016 level (40.0%).

Compared to one year ago (31.5%), Greece has seen an increase of almost seven percentage points in the percentage of overdue B2B invoices in 2017 (38.6%).

After Denmark (56.4%) and Greece (52.1%), Ireland has the highest average of sales made on credit terms (48.2%) in the Western European countries surveyed.

Despite a decrease in 2017, the average value of B2B sales on credit in Italy (42.5%) is still higher than that registered in Western Europe (38.8%).