Relaxation of Lending Guidelines for Hurricane Relief Facilities
Published: Tuesday October 11th, 2016
In the aftermath of the damages caused by Hurricane Matthew, and to facilitate access by households and business to credit facilities for relief purposes, the Central Bank of The Bahamas announces the temporary relaxation of lending guidelines to domestic banks.
In this regard, banks are advised that in respect of hurricane relief facilities:
(a) The mandatory 15% equity contribution will not apply
(b) The threshold debt service ratio of relevant borrowers is increased to 55% from the 40% - 45% range
The Central Bank will continue to monitor the situation and advise of any further change in this policy.
