Business and Loan Recovery

The pandemic of 2020 has a long-lasting impact on businesses worldwide. The repercussions are not yet fully appreciated but the immediate impact is falling revenue and shrinking cash flow for many corporations and their business activities. This raises the credit risk and threatening banks with significant corporate loan losses. Many of corporate borrowers will be seeking the banks’ indulgence for an opportunity to rehabilitate and recover, but many will probably not survive with so much uncertainties.
The banks will have to make some tough decisions, but not without careful understanding of the prospects of immediate loan losses against the risk of granting more time and support in the face of uncertainty. This programme provides a framework for bank managers to make those tough decisions.

Businesses across the world are now reassessing the prospects of economic recovery and sustainability of their revenues and cash flows in the coming months into 2021. Markets and consumers have changed dramatically, and uncertainty remains. As a consequence, business owners and their management will need to take decisive actions and make the choice of continuing business activities as before or re-create a new business model. The alternative to that may be a business shut down, as a strategy to conserve dwindling economic resources for better opportunities elsewhere.
Bankers and other financial backers will need to be very convinced of the future of the business. Without their support, the pandemic afflicted business will probably, not survive. This programme aims to provide some fresh ideas and a structured approach to arrive at the decision to restructure the ailing business and take it to a sustainable recovery.