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Time to think of a credit bureau
By Kumbirai Makwembere
THE reporting season roared into full swing last week, with companies inconsumer retail being the first to release their results. These included clothing retailers Truworths and Edgars. FBCH also published its full year results. In most of the results that have surfaced to date, one factor is common — the tight liquidity in the economy is weighing negatively on the performance of companies. Retailers are feeling the pinch as sales have slowed down. Banking institutions have not been spared either. It is now quite common practice for a loan to be rolled over on maturity. Other institutions have temporarily stopped consumer lending as they are now focusing their efforts on recovering loans. It is widely believed that bad loans are prevalent within banks, although the respective institutions do not appear to be adequately providing for them.
Source: Zimbabwe Independent
