PC Bank in dire financial condition, says Samuda
Agriculture Minister Karl Samuda has revealed that the National People’s Cooperative Bank is essentially broke.
He made the statement this afternoon during the meeting of the Standing Finance Committee of Parliament.
More than 200,000 farmers contribute to the 111-year-old Bank, which also provides loans to micro, small, and medium-sized enterprises.
The Department of Cooperative and Friendly Societies took control of the loan portfolio of the bank last year with plans to collect all the outstanding debt.
But Samuda has revealed that outstanding debts to the bank remain high, with over 46 per cent of the bank’s loan portfolio due for over 90 days.
Last November, registrar at the Department of Cooperative and Friendly Societies, Errol Gallimore, said the majority of delinquent PC Bank loans have been outstanding for more than 180 days.
At that time non-performing debt was estimated at $970 million or 42 per cent of the total portfolio.