Bankers Criticise the CBS Issuance on the Banks Losses Handling
Sudan Events -Rehab Abdullah
Bank experts criticized the Bank of Sudan’s issue regarding bank losses. The Central Bank of Sudan CBS had issued temporary controls to address the losses of the war in banks and the formation of financing allocations. “This mechanism is very flawed,” said the banking expert, Walid Daleel, and counts it to take into account the economic impact without the accountability of these losses.
He affirmed that these losses reduce the bank’s capital and may lead to bankruptcy and erosion of the bank’s capital. He affirmed the need for the treatment to take place in the general economic and general context , and according to the fact that the Central Bank CBS is the only refuge for banks to reconcile their conditions, and called on the state to intervene to purchase these debts, or consider these debts a contribution from the Central Bank to the capital. He added that leaving the matter to commercial banks to provide data on bad debts or suspected of being paid an unsuccessful step.
He said, “It is clear from the publication the liquidation of commercial banks in Sudan.”
Troubled and most importantly, there is no document in Sudan covering war insurance.” Walid explained that all debts owed to the bank are destitute in case of war, so it is difficult to show them in the general budget as a non-existent debt item.
To benefit from their expertise in developing appropriate solutions. Economist Ayman Ahmed criticized the publication’s failure to refinance the defaulting clients to help them repay, and saw that this could be an indicator of its main objective is to get rid of vulnerable banking institutions.
The Central Bank CBS announced that it will deal with cash losses and other assets by scheduling the extinguishing of war losses within a maximum period of 10 years, in addition to the controls for addressing defaults and financing losses, so that the incoming deadlines are extended.
