The Central Bank of Nigeria (CBN) has instructed commercial banks across Nigeria to prevent loan defaulters from obtaining new credit facilities.
The directive was conveyed in a circular issued to banks by the apex bank, targeting borrowers who have failed to meet their loan repayment obligations.
According to the circular, the restriction particularly applies to large-ticket obligors—individuals or companies with significant outstanding debts to financial institutions.
Under the new measure, banks are required to block such defaulters from accessing further credit until their existing obligations are settled.
More details to come..