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CBN: Regulatory Measures to Improve Lending to the Real Sector of the Nigeria Economy

by on January 9, 2020

CBN has ordered all Deposit Money Banks (DMBs) to give out loans to real sectors in the Nigeria Economy and also decided to retain the minimum 65% loan deposit ratio (LDR) in the interim. The DMBs are required to maintain this level and further advised that average daily figures shall be applied to access compliance going forward.

The incentive which assigns a weight of 150% in respect of lending to SMEs, Retail, Mortgage and Consumer Lending shall continue to apply while failure to achieve the target shall continue to attract a levy of additional Cash Reserve Requirement of 50% of the lending shortfall of the target LDR on or before March 31st, 2020
For more information: https://t.co/c2kyEoViH9

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  • Ademidun Abimbola
    January 9, 2020 at 11:28 pm

    While banks like Guaranty trust bank and access bank have started doing this, other Banks are still uptight about this. I think paying the levy pays them more. CBN should increase the levy so that they can comply.


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