Experts call on banks to ease their tightening on lendingTruth Consultancy
“The majority of the economic sectors in the country are in dire need of lending. The unprecedented increase in deposits in banks confirms the existence of unutilized funds. Consequently, lending mechanisms should be reconsidered because lending at present is the main driver of the economy, Especially as the region around us is experiencing an economic slowdown that seems to be going on indefinitely” Reda Mosallam said, Managing Partner of Truth Economic & Management Consultancy.
Therefore, the majority of the banks in tightening of lending, as currently, is unjustified, especially for small and medium-sized companies that represent the mainstay of the economy. These projects provide sufficient guarantees for banks. Today, small and medium-sized companies and projects have already been suspended for lack of adequate funding which harm the economy and stimulus plans.