Borrowers should Prioritise Loan Repayment -Ecobank
Following the increase in Loan to Deposit ratio from 60 percent to 65 percent by the Central Bank of Nigeria (CBN), the Chief Executive Officer, Ecobank Transitional Incorporated, Mr. Ayeyemi Ade, said to ensure the new directive works for both lenders and borrowers that borrowers must prioritise loan repayment.
The CEO made the statement while responding to questions from journalists after he was awarded honorary fellows at the investiture programme of the Chartered Institute of Bankers of Nigeria in Lagos.
He said, “Today, our economy is not growing as much as it should. We should be able to participate by lending to the economy to grow, and support the governor of the Central Bank of Nigeria. Also, I must say that people that borrow need to pay back because if they don’t pay back, they make it difficult to continue to lend in the future.
“They are taking away the opportunity to lend. Not paying back is not good business. Any money denied or not paid back on time is money denied permanently. If they don’t pay back, the banking industry will find it difficult to survive, but if they pay back, the banking sector is the one that will oil the economy to grow faster, create jobs and create opportunities.”
He added that Nigeria has numerous opportunities waiting to be converted to real jobs and growth.
He said, “It is important for us in working together to ensure that the banking industry in Nigeria can do its bit for the development of the Nigerian economy, and also to build capacity of people to be able to understand what needs to be done, and to support our government in doing the right thing.”