Governor of the Central Bank of Nigeria, Olayemi Cardoso | Credit: CBN Personal loans granted by Nigerian banks rose to N1.96tn in January 2026, accounting for more than half of the country’s total consumer credit, according to the latest Economic Report of the Central Bank of Nigeria.
The report, obtained from the CBN website by Sunday PUNCH on Friday, further showed that total consumer credit outstanding increased by 0.79 per cent to N3.81tn in January from N3.78tn in December 2025, driven entirely by growth in personal lending. The apex bank stated, “Consumer credit outstanding increased by 0.79 per cent to N3.81tn, from N3.78tn in the preceding month.
The increase in consumer credit was due solely to the rise in personal loans by 5.95 per cent to N1.96tn from N1.85tn, which constituted 51.44 per cent of total consumer credit.” The report showed that retail loans declined by 4.15 per cent to N1.85tn from N1.93tn in the preceding month, accounting for the remaining 48.56 per cent of consumer credit.
The rise in personal loans came as credit to the broader economy recorded marginal growth during the review period. According to the CBN, total credit to the economy rose by 0.17 per cent to N57.41tn in January from N57.32tn in December 2025. The bank attributed the increase mainly to higher lending to the services and agriculture sectors.
It stated, “The growth was driven primarily by the 0.12 and 2.77 per cent increase in credit to the services and agriculture sectors, respectively. Credit to the industry sector, however, declined by 0.24 per cent.” Sectoral analysis showed that the services sector remained the largest recipient of bank credit, accounting for 56.98 per cent of total lending, while industry and agriculture accounted for 36.55 per cent and 6.47 per cent, respectively.
Credit to agriculture increased to N3.81tn in January from N3.71tn in December, while lending to the services sector rose to N32.86tn from N32.71tn. Industrial sector credit stood at N21.21tn, compared with N20.99tn in the preceding month. Within the services sector, finance, insurance, and capital market activities attracted N9.16tn in credit, while trade and general commerce received N5.54tn.
Manufacturing, the largest component of industrial credit, accounted for N6.37tn, while power and energy received N1.59tn and construction N2.44tn. The report also indicated that broad money supply contracted during the month as tighter liquidity conditions persisted in the banking system.
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At the end of the 305th meeting of the CBN’s Monetary Policy Committee, the CBN Governor, Olayemi Cardoso, said credit to SMEs had begun to improve. According to him, new credit to the SME sector rose to about N199bn in April 2026 from N153bn in March, particularly at the retail end of the market.
He said the general category accounted for 94.73 per cent of new credit facilities, while general commerce accounted for 2.46 per cent. He added that SME credit was not the sole responsibility of the CBN, noting that the Ministry of Industry, Trade and Investment, the Bank of Industry, and fiscal authorities also had roles to play.