IMF concerned about Tanzanian NPL levels

Addressing financial sector vulnerabilities should be “priority”

loan folder

The International Monetary Fund has expressed concerns about the high level of non-performing loans Tanzanian banks have on their balance sheets.

In a statement following the fund’s latest mission to the African nation, the deputy division chief for the IMF’s fiscal affairs department, Mauricio Villafuerte, said NPLs had “increased markedly” to 12.5% of total loans.

While the banking system as a whole remained capitalised, the IMF noted high NPL levels had prompted banks to “curtail lending”

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