• Friday, September 29, 2023
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AMCON recovers N17.08bn loans in 6 months

AMCON recovers N1.6tn debt since its inception – Kuru

The Asset Management Asset Management Corporation of Nigeria (AMCON) recovered a total of N17.08 billion within six months, while total assets forfeited in settlement of loans was N633.22 million.

These brought the cumulative recoveries to N971.13 billion, comprising cash of N549.89 billion, and asset and shares forfeiture of N421.24 billion.

This was disclosed in the Financial Stability Report (FSR) published on the Central Bank of Nigeria (CBN) website.

The value of AMCON’s liabilities increased marginally to N5.72 trillion at the end of June 2022, from N5.54 trillion at the end of December 2021.

Of this amount, the combined value of the AMCON Note of N3.86 trillion and Loan of N500.00 billion represented 76.26 per cent of the total liabilities.

The Note would mature on December 27, 2023, while the N500.00 billion loan is due for redemption on December 30, 2022. The Corporation’s total assets, net of impairment, stood at N896.49 billion at the end of June 2022, representing 15.58 per cent of the total liabilities.

The report noted that at the end of June 2022, the number of offshore entities of Nigerian banks was 64, comprising 55 subsidiaries, four representative offices, one affiliate, three international branches and one agent banking arrangement.

The virtual risk-based supervision (RBS) examination of four offshore banking subsidiaries of a bank was conducted during the review period.

According to the report, the examination of the entities was a means of assessing the financial soundness of the banks and their compliance with extant laws and regulations, validating the returns submitted by the parent bank and addressing supervisory concerns noted in the operations of the offshore subsidiaries.

Read also: AMCON seeks enforcement of debtors ban from Govt. contracts

On the Credit Risk Management System (CRMS), the report said the database remained a veritable source of credit information and an additional risk management tool for the banking industry.

At the end of June 2022, total number of credit facilities on the CRMS database stood at 34,344,280 reflecting an increase of 17.56 per cent over the end of December 2021 position of 29,213,129.

The number comprised 33,491,862 credit facilities to individuals and 852,418 to non-individuals.

However, the total number of facilities with outstanding balances on the CRMS database, increased by 9.12 per cent to 5,344,602 at the end of June 2022, from 4,898,075 at the end of December 2021.