Degrowth Takes Its Toll: Colombian Companies Are More Burdened with Their Debts
Bankruptcy attorney Gustavo Cuberos was cited in an article published by El Colombiano about a Cesce study that reveals a 62 percent increase in non-payment notices from Colombian companies until September 2023. The difficulties are focused on loans with liabilities of more than 90 days, especially in sectors such as financial services, wholesale trade, manufacturing of products for animal feed and construction. The economic slowdown, inflation, interest rates and political uncertainty are highlighted as key factors, and some companies consider insolvency as an option in the face of high debts. Mr. Cuberos discussed key strategies to avoid insolvencies in 2024, since they are dependent on the entrepreneurs themselves.
"They are undoubtedly the control of expenses (production, marketing and administration costs) and transparency with creditors, especially financial and suppliers," he said.