Sign in
Download Opera News App



Credit card loan


Good news to Fuliza and M-Shwari defaulters as NCBA announces this about their loans

According to NCBA Group, it will waive at least Ksh. 5.5 billion in delinquent Fuliza and M-Shwari loans as part of the credit repair program run by the Central Bank of Kenya.

For the credit repair initiative, which will result in at least half of the balances, or Ksh. 5.5 billion, being waived off, the lender has set aside Ksh. 11 billion from its bad digital loan book.

Under IFRS-9 banking standards, the entire amount of the defaulted Fuliza and M-Shwari loans totaling Ksh. 11 billion has currently been written off and fully provided for.

A total of Ksh.15 billion in digital loans are anticipated to be forgiven by the banking sector, bringing the total amount of loans under consideration for the credit repair program to Ksh.30 billion.

As the balance is waived off, giving lenders a windfall of Ksh.15 billion in unlocked customer pay downs, program participants will be required to pay at least Ksh.15 billion.

The significant number of loans covered by the credit repair program, in Eric Muturi's opinion, is a reflection of the lender's history as a digital lender.

Content created and supplied by: Maryomachala (via Opera News )

Fuliza IFRS-9 Ksh M-Shwari NCBA


Load app to read more comments