Firms
Stanbic restructures Sh1bn automotive loans as Covid-19 bites
Monday, July 27, 2020 1:29
Stanbic Bank Kenya #ticker:CFC has restructured Sh1 billion automotive loans within the wake of Covid-19 pandemic, pointing to the affect the well being disaster has had on automobile and asset financing enterprise.
The lender says the quantity pertains to 460 automobile house owners who’ve utilized for an extension in compensation interval. This implies the common value of the automobiles concerned is Sh2.17 million.
“Our vehicle and asset financing unit has supported restructures to more than 460 vehicle owners worth approximately Sh1 billion,” mentioned CEO Charles Mudiwa in response to the Enterprise Every day questions.
“We are currently living in a time of uncertainty and unprecedented disruptions that has threatened a lot of business activities and livelihoods.”
The restructured automotive loans make up about 6.6 p.c of Stanbic’s Sh15.15 billion automobile and asset financing loan ebook section.
Stanbic had restructured Sh31 billion loans for people, small and medium-sized Enterprises (SMEs), and corporates by finish of June.
“We proceed to evaluate the market, talk about with our clients as to how we are able to assist them.
“A few of the assist contains requests to enter non-public treaties,” mentioned Mr Mudiwa.
The lender additionally granted a three-month compensation vacation on SME loans worth Sh3.5 billion because it to cushion them from the enterprise disruptions ensuing from Covid-19.
The pandemic has affected companies and people in numerous methods together with diminished cash-flow or damaged supply-chains because the state implements measures to cease unfold the virus.
