A new nationwide financial study has revealed that Nigeria’s credit market remains significantly underdeveloped, with just about 6 per cent of adults currently able to access loans from formal financial institutions, despite rising levels of financial inclusion across the country.
The Credit Landscape Report 2025, released in June 2026, shows a sharp imbalance in the financial system where more than 64 per cent of adults are now financially included, yet access to structured credit remains extremely limited. The findings indicate that lending to the private sector represents only 13.1 per cent of Nigeria’s Gross Domestic Product, a figure that trails behind several comparable African economies.
Brandspur Banking News Desk reports that the report also highlights structural weaknesses affecting small businesses and households, noting that microfinance institutions contribute just 5.4 per cent of total lending activity, leaving a wide gap in support for informal and underserved sectors.
Despite ongoing economic expansion in manufacturing, agriculture, and services throughout 2025, access to working capital and business financing remains constrained, slowing potential growth across key industries.
The study further shows gradual improvement in lending activity, with a microfinance institution recording an increase in its loan portfolio from N1.372 billion at the end of 2025 to N1.558 billion by the first quarter of 2026, reflecting rising demand for credit among small enterprises.
Financial services stakeholders emphasise the need to strengthen not only lending systems but also savings culture, insurance coverage, and risk protection mechanisms to build long-term economic resilience for individuals and businesses across Nigeria.
