Nigeria AMCON to buy rescued banks’ NPLs in Oct

amcon2Nigeria’s state asset management company AMCON will complete the acquisition of all non-performing loans from banks rescued in a $4 billion 2009 bailout by the end of October, its chief executive said on Thursday.

“At that point (Oct. 31) AMCON will have acquired 2.78 trillion naira face value of non-performing loans from 21 banks at a cost of 1.16 trillion naira,” Mustapha Chike-Obi told reporters in Nigeria’s commercial-hub Lagos.

AMCON was set up last year to absorb bad bank loans, exchanging them for government-backed bonds, with the aim of rebuilding commercial bank balance sheets. All rescued banks have now completed recapitalisation.

 

Source: Reuters (Reporting by Oludare Mayowa)

 

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