Trade payment days rise from record low
Businesses took an average of 44.9 days to settle their invoices during the June quarter - the first increase in average payment days since the March quarter last year.Despite the increase, trade payment times remain near historical lows.According to Dun & Bradstreet's latest Trade Payments Analysis, average business payment days reached a record low of 43.7 days in the March quarter, having fallen from the recent peak of 56 days in the June quarter 2014.Sixty-eight per cent of businesses settled their invoices within one to 30 days during the June quarter - unchanged from the March quarter.Dun & Bradstreet economics adviser Stephen Koukoulas said: "The trade payment data are often volatile on a quarter by quarter basis, which means it is too early to be sure whether the slight rise in payment times is a sign of weaker performance from the business sector or part of that volatility."Another quarter or two of rising trade payment times would suggest the economy is softer."The slowest payers are in the Australian Capital Territory, where it took businesses an average of 50.4 days to pay their invoices in the June quarter. The fastest are in Tasmania, where the average is 41.8 days.Average trade payment days in Victoria were 44.7 days, in Queensland 43 days, in South Australia 42.8 days, in Western Australia 46.5 days, in the Northern Territory 42.3 days and in New South Wales 46 days.