Credit extended to Nigeria’s private sector increased for the third consecutive month in August 2026, rising to N84.55 trillion, according to the latest data from the Central Bank of Nigeria (CBN).

The figure represents a N1.13 trillion increase, or 1.35 per cent, from the N83.43 trillion recorded in July, indicating continued growth in bank lending to businesses and other private-sector borrowers.

CBN data showed that private-sector credit stood at N81.04 trillion in May before increasing to N83.26 trillion in June, N83.43 trillion in July and N84.55 trillion in August.

The August figure represents an increase of about N3.51 trillion, or 4.33 per cent, over the three-month period. Compared with the N75.88 trillion recorded in August 2025, private-sector credit has also risen by approximately 11.4 per cent year-on-year.

However, the latest figure remains below the N94.61 trillion recorded in February 2026, which was the highest level reported during the period.

The increase in private-sector lending comes amid the CBN’s efforts to maintain monetary stability. At its July 2026 Monetary Policy Committee meeting, the apex bank retained the Monetary Policy Rate at 26.5 per cent, keeping monetary conditions relatively tight.

In contrast to the rise in private-sector credit, lending to the government declined for the third consecutive month. Government credit fell from N33.92 trillion in July to N32.70 trillion in August, representing a decrease of N1.22 trillion, or 3.60 per cent.

Government credit has declined from N40.38 trillion in May to N32.70 trillion in August, translating to a reduction of N7.68 trillion within three months.

The contrasting movements indicate an increase in the share of credit going to the private sector as government borrowing from the banking system moderated.

For businesses, particularly manufacturers, small and medium-sized enterprises and other firms dependent on bank financing, the continued expansion in private-sector credit could provide additional funding for working capital, investment and business expansion.

However, the cost and accessibility of credit remain important considerations for borrowers, particularly amid elevated interest rates.

The latest CBN figures therefore point to sustained growth in private-sector lending in August, even as monetary policy remains focused on balancing economic growth with inflation and financial stability.