By: Nghiinomenwa-vali Erastus
As of September 2024, 42.9% of non-performing loans (loans unpaid for over three months) in Namibia were held by individuals, according to data from the Bank of Namibia.
Non-performing loans (NPLs) currently stand at 5.9%, just below the 6.0% trigger ratio, a threshold validated through reverse stress testing across the banking sector.
Banks in Namibia have been operating above the 4.0% trigger for some time due to persistently high NPL levels.
This trend of individuals dominating NPLs has been consistent, with 43.9% in the first quarter and 42.3% in the second quarter of 2024.
According to the central bank, economic agents owe commercial banks N$115,9 billion as of the end of the third quarter, 30 September 2-24.
Comments