China's Covid Test Providers Are Owed Billions in Unpaid Bills
- Risk of bad debts is rising as customers take longer to pay
- Local governments face increase in health-care spending
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Testing is a core part of China’s strategy to contain Covid, but companies that provide such services are finding it harder to get paid on time.
Diagnostic firms say the testing blitz is draining their finances as customers take longer to pay their dues. There’s a growing risk some yet-to-be-paid bills will be written off as bad debt, said Hangzhou-based Dian Diagnostics Group Co., one of China’s largest Covid test providers.