Total consumer credit out – standing rose by 11.06 per cent to N4.72 trillion at endDecember 2024, from N4.25 trillion at end-September 2024, latest data from the Central Bank of Nigeria (CBN) shows.
In its Economic Report for Q4’2024 released on Sunday, the apex bank said that while personal loan increased by 21.27 per cent to N3.82 trillion compared with the level at end-September 2024, retail loan declined by 18.18 per cent to N0.90 trillion from N1.10 trillion at end-September 2024.
Consumer credit refers to nocollateral, short- and intermediateterm loans, extended by banks or online lenders, to finance the purchase of commodities or services for personal consumption or to refinance debts incurred for such purposes.
Analysts believe that the increase in consumer credit in the last quarter of last year was largely driven by inflationary pressures, as the high cost of living compelled more Nigerians to resort to consumer loans.
According to the CBN report, “consumer credit outstanding rose by 11.06 per cent to N4.72 trillion at end-December 2024, from N4.25 trillion at end-September 2024.
Personal loan increased by 21.27 per cent to N3.82 trillion compared with the level at end-September 2024. “Retail loan, however, declined by 18.18 per cent to N0.90 trillion from N1.10 trillion at end- September 2024.
A breakdown indicated that personal loans, with a share of 80.98 per cent, remained dominant, while retail loans accounted for the balance.”
Meanwhile, on the fiscal operations of the Federal Government in the last quarter of 2024, the report said that the government’s overall deficit reduced by 3.61 per cent to N3.08 trillion, “reflecting the improved balance that resulted from a more than proportionate increase in revenue over expenditure.”
