Nigeria’s private-sector credit reaches N83.43tn despite high interest rates

Lending to Nigerian businesses continued to rise in July, even as interest rates remained high and the Central Bank of Nigeria maintained a restrictive monetary stance.

CBN data put private-sector credit at N83.43tn in July 2026, an increase of 0.21% from June. The total stood N6.70tn above the level recorded a year earlier, representing annual growth of 8.74%. Between April and July, private-sector credit increased by N2.84tn, from N80.59tn to N83.43tn.

The July increase was much smaller than the previous month’s expansion. Credit rose by N2.22tn in June, moving from N81.0tn in May to N83.26tn. It then added only N171.8bn in July. The benchmark Monetary Policy Rate remained at 26.50% as the CBN pursued efforts to contain inflation and preserve macroeconomic stability.

The figures also showed government borrowing moving in the opposite direction. Net domestic credit fell 4.82%, or N5.94tn, to N117.35tn in July from N123.29tn in June. Credit to government declined from N40.03tn to N33.92tn.

The CBN data did not show whether the new private-sector lending went mainly to manufacturing, agriculture, trade, real estate or other industries. Earlier figures showed mixed sector trends, with agriculture credit at N3.86tn in March, declines in oil and gas and manufacturing lending from January, and increases in power and energy and real estate. Business groups have warned that high borrowing costs could limit access to finance and raise operating expenses.