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Banks’ Non-Performing Loans Rise To N2.24trn

Banks’ Non-Performing Loans Rise To N2.24trnNigerian bank’s non-performing loans stood at N2.245tn as of the end of September 2018, according to the National Bureau of Statistics (NBS).

The NBS revealed that in the period under review, the country’s gross loans stood at N15.861tn, while loans (after specific provisions) stood at N13.332tn.

According to the NBS, as of the end of June, non-performing loans stood at N1.939tn while gross loans and loans (after specific provisions) were N15.50tn and N13.587tn respectively.

Recently, the Asset Management Corporation of Nigeria said it was preparing to release another list of debtors.

The corporation decided to expose the debtors following their failure to meet their debt obligations after several peaceful engagements.

In October, AMCON published a list of defaulters that it termed as delinquent debtors. They allegedly owed about N906.1bn.

Part of the publication read, “This has become necessary as all avenues provided by the corporation for the debtors to propose acceptable resolution terms have failed. Nevertheless, the corporation is still open to an amicable resolution of these debts within a reasonable time, failing which it shall continue to exercise all powers as provided by law to recover the debts.”

AMCON is saddled with the statutory responsibility, among others, of recovering the non-performing loans hitherto disbursed by eligible financial institutions (banks) to their customers.

The corporation had said that despite numerous overtures and appeals to AMCON debtors to extinguish their indebtedness, it was concerned that certain debtors had willfully maintained recalcitrant postures while also adopting unscrupulous means of avoiding recovery.

After several appeals and dialogues to resolve this indebtedness, it added that it would not relent in pursuing vehemently the achievement of its recovery mandate against erring debtors.

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