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Private sector credit in Nigeria rose to N75.8 trillion in December 2025, according to the latest monetary and credit statistics released by the Central Bank of Nigeria. The increase reflects a modest recovery in lending activity toward the end of the year, although credit levels remain below last year’s figures.
Lending Shows Signs of Recovery
Data from the Central Bank of Nigeria shows that private sector credit increased by N1.17 trillion in December, up from N74.63 trillion in November 2025. This month on month growth followed several months of weak lending earlier in the year.
The improvement suggests that recent monetary policy adjustments may be beginning to influence banks’ lending behavior. However, credit levels are still lower than the N78.02 trillion recorded in December 2024, indicating that the recovery remains incomplete.
Private Sector Credit Trends in 2025
Throughout 2025, private sector credit fluctuated between N72 trillion and N78 trillion. At the start of the year, lending stood at N77.3 trillion in January before reaching a peak of N78.07 trillion in April.
From May onward, credit declined steadily due to tight financial conditions, cautious bank lending, and broader economic uncertainty. As a result, the December increase represents a partial rebound rather than a full return to earlier lending levels.
Net Domestic Credit Records Strong Growth
Meanwhile, net domestic credit rose sharply to N110.05 trillion in December 2025, compared with N100.98 trillion in November. The figure also exceeded the N105.16 trillion recorded in December 2024.
This growth points to stronger overall credit activity during the year. Higher government borrowing played a major role in the increase, alongside uneven but ongoing lending to the private sector.
Key Monetary Policy Developments
In September 2025, the Monetary Policy Committee reduced the Monetary Policy Rate by 50 basis points to 27 percent, signaling a shift toward easing. Although the committee left the rate unchanged in November, it adjusted the interest rate corridor to discourage banks from holding excess funds with the Central Bank.
In addition, Nigeria’s broad money supply increased to N124.4 trillion in December 2025 from N122.95 trillion in November. Changes in net foreign assets and net domestic assets contributed to the growth.
