See more as 10 Nigerian banks loan to customers rises above N66 trillion

• New data has revealed that more Nigerians approached commercial banks for loans despite high interest rate
• EcoBank leads the table with the highest loan to customers followed by Access Bank and First Bank
• The state of the economy has seen more Nigerians turning to banks and other financial institutions for loans.

Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.

The total loans to customers from 10 commercial banks in Nigeria rose to N66.49 trillion in the first nine months of 2024.

According to Legit.ng analysis of data from their financial statements obtained from the Nigerian Exchange shows that their combined customer loans rose by 46.69% from N45.32 trillion as at December 2023.

Nigerian bank's loans to customers increase Photo credit: nurphoto
Source: Getty Images

A further analysis shows that the banks had an average Loan-to-Deposit Ratio (LDR) of 46.72%. This means that for every N100 deposited, they lent N46.

LDR is a ratio that measures liquidity by comparing a bank’s total loan credit facilities to its deposits. It is an important indicator of a bank’s lending activity.

The banks surveyed include Access Bank, Ecobank, First Bank of Nigeria (FBN Holdings), First City Monument Bank (FCMB), Fidelity Bank, Guaranty Trust Bank (GTB), Sterling Bank, United Bank for Africa (UBA), Zenith Bank, and Wema Bank.

Breakdown of the loans

Ecobank, Access Bank, Zenith Bank, and FBN Holdings are the four banks with the highest loans and advances to customers among those surveyed.

Access Bank – N11.86 trillion

Access Bank Holding, the parent company of Access Bank, reported that its loan book stood at N11.86 trillion at the end of September 2024.

This represents an increase from N8.03 trillion in total loans and customer advances as of December 2023.

Access Bank’s customer deposits as of September 2024 stood at N22.2 trillion.

Zenith Bank- N8.65 trillion

Zenith Bank's loans and advances to customers amounted to N8.65 trillion at the end of March 2024.

This marks a significant increase of 31.97% from N6.55 trillion in December 2023.

Zenith Bank’s customer deposits as of September 2024 stood at N21.5 trillion

FBN Holdings- N8.42 trillion

FBN Holdings Plc, the parent company of First Bank of Nigeria, reported that its customer loans and advances stood at N9.36 trillion as of September 2024, an increase from N6.3 trillion in December 2023.

Its customer deposits stood at N16 trillion.

Ecobank – N16.25 trillion

Ecobank Transnational Incorporated recorded customer loans of N16.25 trillion, reinforcing its position as one of the largest lenders in the Nigerian banking sector.

The bank’s total customer deposits stood at N32.92 trillion.

UBA – N7.68 trillion

United Bank for Africa (UBA) reported a total loan portfolio of N7.68 trillion, with customer deposits reaching N22.97 trillion, reinforcing its strong liquidity position.

Fidelity Bank – N4.25 trillion

Fidelity Bank reported total customer loans of N4.25 trillion as of September 2024, with deposits amounting to N6.08 trillion.

GTB – N3.02 trillion

Guaranty Trust Bank (GTB) disclosed that its customer loans stood at N3.02 trillion, while total deposits reached N10.68 trillion.

FCMB – N2.25 trillion

First City Monument Bank (FCMB) reported a total loan book of N2.25 trillion.

Wema Bank – N1.00 trillion

Wema Bank’s total loans and advances to customers stood at N1.00 trillion, while customer deposits reached N2.29 trillion.

Sterling Bank – N1.13 trillion

Sterling Bank’s loan book grew to N1.13 trillion, with a total customer deposit base of N2.46 trillion.

CBN explains how it will bring down inflation rate

Legit.ng reported that the Central Bank of Nigeria has disclosed that it has a target to tame inflation and bring it down to single-digit rates.

Cardoso explained that CBN will stick to orthodox monetary policies as it had done in the past, to curb inflation in Nigeria.

The CBN Governor, Olayemi Cardoso, made this known at the press conference after the 299th Monetary Policy Committee (MPC) meeting.

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Source: Legit.ng