Banker: Strict rules for lending

Commercial banks are not about to start lending money willy-nilly, despite calls for them to free up some of the $9 billion in deposits to help stimulate economic activity.

The Barbados Bankers’ Association president Donna Wellington said banks were prepared to lend money for productive purposes and were doing so.

“It’s well understood out there that banks may be a little . . . harder on people in terms of the stringent nature of our lending practices, but our regulators require us to be stringent,” the senior banker stressed.

Barbados Co-operative & Credit Union League Ltd general manager Anthony Pilgrim said some customers were shifting away from the banking sector “to finance companies that are offering better rates of return on deposits”. (SC)