ABUJA, June 25 (Reuters) – Nigerian banks plan to restructure over a 3rd of loans after operating into compensation issues as a result of coronavirus pandemic, a member of the central bank financial coverage committee mentioned. A complete of 17 banks have submitted requests to restructure over 32,000 loans for companies and people, representing 33% of loans, Aisha Ahmad mentioned in an announcement printed on the central bank’s web site late on Wednesday. She mentioned the vast majority of the loans to be restructured have been inside the manufacturing and normal commerce sectors. “Results from ongoing impact assessments of COVID-19 effects on impairment by banks indicate a modest impact given regulatory policy measures already implemented,” Ahmad mentioned. Mid tier lender FCMB mentioned in May that it was restructuring half of its loans, primarily involving the oil and retail sectors. The central bank in March mentioned it could permit lenders to offer prospects extra time to repay loans and create a fund to fight the impression of the coronavirus pandemic, which triggered an oil price crash and weakened the forex. Earlier than the pandemic, the central bank pressured banks to lend to stimulate an economic system mired in low development. However lenders cautious of an growing loan pile held again and have been penalised. Complete loans grew three trillion naira ($8.31 billion) to 18.6 trillion naira during the last 12 months ending in April, Ahmad mentioned. The oil price crash additionally harm vitality corporations, lengthy essentially the most favoured sector for bank loans. In April, credit score to the oil sector accounted for 26% of all company loans, one other MPC member, Adamu Lametek, mentioned within the assertion. ($1 = 361.00 naira) (Reporting by Chijioke Ohuocha Enhancing by Mark Heinrich)Our Requirements:The Thomson Reuters Belief Ideas.