Bad Loans Soar As Dollar Becomes More Scare

According to emerging details

The scarcity of foreign exchange will remain challenging in the second half of 2016 due to low oil prices, which may push up credit risks for commercial banks as naira weakness makes loans harder to service, the Central Bank of Nigeria has said.‬

‪In its half-year Financial Stability Report, the CBN said the move to a flexible exchange rate regime had led to a sharp fall in the naira and contributed to the decline in asset quality for the banking sector.‬
“Although the outlook for the rest of the year appears to be challenging, the current measures put in place … are expected to minimise the impact of shocks to the domestic economy,” the report said.