NCB racks up 7.4 bil in non-performing loans

National Commercial Bank, NCB, has seen a sharp increase in non-performing loans.

The bank's balance sheet for the quarter ended December 31 shows total non-performing loans at 7-point-4 billion dollars.

This is a four billion dollar increase over the figure reported during the corresponding period in 2010.

Non performing loans represented 7-point-2 percent of gross loans compared to 3-point-8 percent in December 2010.

NCB says the spike was driven by a large loan which became non-performing in March last year.

Between December 2010 and the end of 2011, the bank recorded a 12-point-7 billion dollar increase in loans and advances which stood at 101-point-2 billion dollars.

During the December quarter NCB's net profit declined by 7-point-9 percent to 2-point-8 billion dollars.