Why banks are reluctant to lend to real sector - analysts

•Massive mop-up through TBs pushes up inter-bank lending Lack of effective credit rating agencies and misalignment among other factors are responsible for banks’ reluctance to lend to the productive sectors of the economy, analysts have said. According to them, the current scenario in spite of the fact that the economy is awash with liquidity portends danger to the economy. Even with the slashing of the standing deposit facility by the monetary policy committee, ostensibly to encourage ...

Added: 5 months ago (March 16, 2010 @ 08:01PM)
Source: Businessday Nigeria