Regional suppliers face an average 126-day wait for payment
The Regional Public Administration's average supplier-payment period has risen to 126 days.
The average time taken by the Azores Regional Public Administration to pay suppliers reached 126 days in the latest period reviewed. The figure is one day higher than in the previous quarter.
The indicator measures the average period before obligations to businesses and other suppliers of goods or services to the regional public sector are settled. Its movement again puts overdue public-sector payments under scrutiny in the Azores.
An economist interviewed by RTP Açores warned of the financial effects of prolonged waits. For suppliers, the gap between delivering work and receiving payment can put added pressure on cash flow, day-to-day commitments and business planning.
The issue matters in a regional economy where many companies depend on contracts and supplies for public bodies. Shorter payment periods are important both for suppliers' financial predictability and for confidence in commercial dealings with the Regional Public Administration.
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