Provision for loan losses by commercial banks in the country has dropped, reflecting a development in loan repayment.
This was revealed by the nine-month results of some of the banks quoted on the Nigerian Stock Exchange (NSE) released recently, and was compiled by THISDAY.
Findings showed that the 10 banks recorded lower loss charges for the nine months which ended September 30, 2018.
The banks are:
- Access Bank Plc,
- Guaranty Trust Bank Plc,
- Sterling Bank Plc,
- United Bank for Africa (UBA) Plc
- Zenith Bank Plc,
- FBN Holdings Plc,
- Diamond Bank Plc,
- Ecobank Transnational Incorporated,
- Fidelity Bank Plc
- Stanbic IBTC Holdings.
Precisely, the 10 banks total loss charges fell by 35 percent from N328.172 billion in 2017 to N213.93 billion in 2018.
Financial specialists told THISDAY that the decline in loss charges was due to borrowers improving in their loan’s repayment.
They added that banks have also adopted restraints approach to loan creation.