The Average Period of Payment to Suppliers (PMP) of the Autonomous Communities has been reduced by 4.87 days in the month of March 2020, 12.22% less, in relation to the previous month, to reach 34.98 days.
The PMP for the Central Administration has been reduced by 10.08 days in the third month of the year, to 25.02 days.
Local Entities have registered an Average Supplier Payment Period of 66.76 days in the first quarter of 2020.
In the case of Social Security Funds, the PMP of March 2020 has been 10.73 days. Comparing the results with those of the previous month, the Average Supplier Payment Period has decreased by 0.83 days.
Central Administration Data
The PMP of the Central Administration has been set at 25.02 days in March. This result, compared to the previous month, represents a decrease of 10.08 days.
The ratio of operations paid has stood at 23.02 days, while the ratio of operations pending payment has reached 28.89 days.
Data from the autonomous communities
In the Autonomous Communities (CCAA), the Average Period of Payment to Suppliers is calculated in March 2020 at 34.98 days, 4.87 days less than in February.
Regarding the composition of the PMP in March, the ratio of operations paid stood at 31.69 days and that of operations pending payment at 38.70 days. This represents a reduction of 7.23 days in the ratio of operations paid and a decrease of 2.16 days in the ratio of operations pending payment, compared to the previous month.
Compared to other months in March, the decrease in the PMP is more pronounced, since, on the one hand, there has been an increase in commercial debt as a consequence of the commercial operations generated in the month to address the COVID-19 pandemic , which are computed in reduced terms, and, in turn, there has been an increase in ordinary payments as a consequence of the liquidity measures established by the Government in favor of the CCAA.
All this has influenced that the health PMP has been reduced to a greater extent than the global PMP, since it decreases in 6.15 days compared to 4.87 of the global PMP.
CCAA debt
The amount of the commercial debt of the Autonomous Communities amounts to 4,575.56 million, which is equivalent to 0.41% of the national GDP. This represents an increase of 3.29% in relation to the previous month.
Local Corporations Data
As for the entire set of Local Corporations (assignment and variables), the Average Supplier Payment Period stands at 66.76 days in the first quarter of the year, 19.88 days more than the fourth quarter of 2019.
It must be taken into account that the average data for the subsector is calculated according to the same methodology established for each local corporation at the individual level, that is, the days are weighted according to the volume of debt of each entity, so that in The calculation of the PMP has more weight those entities with greater indebtedness to suppliers.
If this method were not used, the simple mean of the individual PMP shows a data of 36.74 days, very far from the 66.76 days resulting from applying the methodology as if the subsector were a single entity.
In addition, of the entities that have submitted information in this period, most comply with the payment deadline set by the delinquency regulations. Specifically, 70.47% of the transfer entities (large municipalities with more than 75,000 inhabitants, provincial councils, councils and island councils) and 73.40% of variable entities (other municipalities) have an equal PMP in said period or less than 30 days. With the sample data, it can be affirmed that 70% of the entities that present information register a PMP equal to or less than 28.09 days.
If the entities with an excessive PMP (greater than 60 days), and which represent around 11.88% on assignment and 10% on variables, are not taken into account, the Average Payment Period would drop to 24.97 days in March for the entire subsector, a figure included within the legal term.
Of the main cities, three have a PMP of more than 30 days, and one, included in the previous group, exceeds 60 days.
Social security funds
In the case of Social Security Funds, the PMP of March 2020 has been 10.73 days. Comparing the results with those of the previous month, the Average Supplier Payment Period has decreased by 0.83 days.
The ratio of operations paid has risen to 9.19 days, while the ratio of operations pending payment stood at 18.78 days.