COVID-19 has brought the world from a health crisis to an economic crisis. As the world recovers and as countries worldwide gradually lift restrictions to try to bring economies back to the road of recovery, it is expected that corporates and financial institutions will face a higher degree of risks under this economic downturn.
According to poll results collected during the webcast on The Need for Proactive Asset Tracing Amid COVID-19, payment default, contract breach disputes and third party-related risks were the top three risk concerns, which are likely to affect the organization due to COVID-19. Almost more than 77% were concerned about payment default by debtors.
During this webcast, speakers from the Business Intelligence and Investigations practice at Kroll, a division of Duff & Phelps, shared insights on how proactive asset tracing can mitigate default, and some other risks post COVID-19 and what some of the early trends indicate.
Key Takeaways
- Increase in non-performing loans expected in the Asia Pacific region
- Corporates and financial institutions are exposed to more risks such as willful delay and defaults relating to debt payment
- Organizations should take a proactive approach to protect their business and this is the best time to review their business and value chain
- Early initiation of asset tracing can help increase chances of recovery
Originally presented on May 12, 2020.
