Tue, 26 Dec 2017 13:07:55 +0000 By BUUMBA CHIMBULU THE banking industry as at end of October 2017 recorded a decline of 3.8 percent gross loans and advances owing to increased Non-Performing Loans (NPLs). The sector during the period under review recorded K23.4 billion worth of gross loans and advances from K24.3 billion recorded during the same period in 2016, representing a decline of 3.8 percent. According to the Bankers Association of Zambia (BAZ) chief executive officer, Leonard Mwanza, the ratio of NPLs remained above the 10.0 percent prudential threshold, as a result, banks had to raise provisions to cover the incurred losses. “The poor quality of the sector loan book is evident in the higher level of total provisioning as evidenced by the high NPL ratio which increased to 11.7 percent at end October 2017 from 9.9 percent at end December 2016,” he said. Mr. Mwanza also said the easing of the monetary policy […]
