AMCON To Restructure Over N1 Trillion Debtors’ Loans
The Asset Management Corporation of Nigeria (AMCON), debtor companies and individuals have agreed on the restructuring of over N1 trillion worth of loans.
The MD/CEO, AMCON, Mr. Mustapha Chike Obi, said restructuring these loans instead of insisting on outright payment, which many of the debtor companies may not be able to do, will allow the loans to perform better, the companies to go on with their businesses, and employees to keep their jobs.
The restructured amount is part of the N5.6 trillion non-performing loans it acquired from banks to safe-guard depositors’ money and rescue banks from liquidation, thereby preventing job losses in the industry.
The corporation is also predicting that N400 billion will be pooled into a sinking fund that it established by the end of this year.
About N200 billion was paid into the fund as at end 2012.
The restructured deals include extension of tenure to make for ease of repayment and in some cases, additional funding to rejuvenate debtor companies.