The banking association’s managing director Bongiwe Kunene said on a conference call on Thursday that Non-performing loans could hit 10% in South Africa this year due to COVID-19 related economic troubles. She added that this may deplete banks’ capital buffers. According to the CEIC global economic data service, South Africa’s non-performing loans ratio stood at 4.3 % last month. South Africa was already in recession before the COVID-19 pandemic struck, and the fallout of mainstays like mining and tourism have ravaged an already fragile economy. The central bank expects the economy to shrink 7% this year. Learn more about your ad choices. Visit megaphone.fm/adchoices