Loan delinquency is at an all-time high in Barbados’ commercial banking system.
And according to president of the country’s banking association, the current economic recession is directly to blame for Barbadians not being able to fulfil their promises to banks across the system.
Horace Cobham, who is also the president and country head of RBC Royal Bank and RBTT, told the WEEKEND NATION yesterday that consumer loan delinquency in Barbados had usually hovered around or even below four or five per cent, but that figure had now ballooned into the teens for the past 12 months, which means that at least 12 or 13 per cent of all loans are not being serviced, or have even stopped being serviced altogether.
“I’ve never seen it like this. This is without a doubt the highest it has ever been. Customers are trying their best to weather the storm, but it’s proving to be very difficult in the current circumstances. It has never been at this level before,” Cobham added.
