Private sector credit climbs to N83.3tn amid lending growth

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Credit to Nigeria’s private sector increased to N83.3tn in June 2026, representing a 2.8 per cent month-on-month rise from N81tn in May, according to the latest Money and Credit Statistics released by the Central Bank of Nigeria.

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The apex bank’s data also showed that credit to the government declined 0.99 per cent to N40tn in June from N40.4tn in May.

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As a result, net domestic credit rose 1.5 per cent to N123.3tn in June, compared with N121.42tn recorded in the previous month.

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The increase in private sector lending suggests that banks continued to extend more credit to businesses and households despite the CBN’s high-interest rate environment. If sustained, stronger credit growth could support business expansion, investment and economic activity, analysts say. However, it also raises the possibility of higher inflationary pressures if credit growth exceeds the economy’s productive capacity.

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The figures indicate that demand for financing remains strong even as the CBN maintains a tight monetary policy stance aimed at curbing inflation and stabilising prices.

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