CBN To Clampdown On Covid 19 Loan Defaulters

The Nigerian Central Bank has stated that it is ready to reclaim loans made to recipients under its Intervention Loan Schemes.

According to a report by the News Agency of Nigeria (NAN), Mr Sadeeq Ajayi of the Central Bank of Nigeria (CBN) Development Finance Office called to loan beneficiaries to repay their loans so that other applicants might benefit from the loan schemes.

The top bank slammed the loan beneficiaries’ misperception that CBN loans are “National Cake,” and that they had obtained their fair portion through the credit schemes.

The majority of farmers in Oyo State who benefited from the Anchor Borrowers Program (ABP) have not repaid their loans, according to Mr Ajayi.

He bemoaned the apex bank’s inability to recover loans from defaulting farmers, saying it had jeopardized the Scheme and hindered other farmers from taking use of it.

“While the Anchor Borrowers’ Programme has recorded some level of success, the failure of farmers to repay the loans has, however, been a major setback.

“Many of the farmers refused to pay back their loans due to the misconception that since CBN is the lender, the loan is a ‘national cake’ and they do not have to pay back what they consider theirs as citizens.

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“This attitude has made it difficult for other farmers, who also want to access the loan, to benefit from the scheme,” he said.

Mr Ajayi stated that the apex bank is working with various stakeholders, including Traditional Rulers, to collect loans from defaulting recipients so that others might benefit from the loan schemes.

“Of course, we are engaging various stakeholders and we expect the narrative to change very soon so that more people can have access to the fund,” Ajayi said.

This information was first published on nyscinfo.comDMCA PROTECTED.

Source: Nyscinfo

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Updated: May 20, 2022 — 8:38 am

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Stephen Adoga

Stephen Adoga is a trained journalist, researcher, creative writer, content creator, video editor and freelancer. He studied Mass Communication at the Lagos State Polytechnic, Ikorodu, where he acquired requisite training for the practice of journalism. He loves the media. His interest mostly lies in the print medium where his creative writing skill makes him a perfect fit.

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