New data from the Central Bank of Nigeria (CBN) reveals that manufacturers have accessed a staggering N68.7 trillion in credit facilities over the last nine months. According to The Guardian, this surge in lending is part of a broader effort to stimulate industrial growth and reduce the country’s dependence on imports. The loans are reportedly being utilized for facility upgrades, raw material acquisition, and expansion of production lines across various sub-sectors.
In an update published by ThisDay, the CBN noted that while credit access has improved, the manufacturing sector still faces significant hurdles, including high interest rates and energy costs. The report highlights that the apex bank is working on further interventions to ensure that the credit results in tangible GDP growth. BusinessDay validated the report, quoting a manufacturer: “While the volume of credit is high, the cost of servicing these loans remains a heavy burden on our margins.”
Reporting by Tribune indicates that the Manufacturers Association of Nigeria (MAN) has called for more specialized windows for long-term, low-interest funding. A MAN representative stated, “Access to credit is only one half of the equation; we need a stable power supply and better infrastructure to make this capital truly productive.” This highlights the ongoing tension between financial liquidity and the ease of doing business in Nigeria.
Echotitbits take:
The massive credit injection into manufacturing is a gamble on the sector’s ability to drive Nigeria’s economic recovery. However, with inflation still a concern, the “high borrowing costs” mentioned by MAN could lead to a cycle of debt if production doesn’t scale rapidly. Watch for the next GDP report to see if this N68.7 trillion translates into a manufacturing-led growth spike.
Source: The Guardian – https://guardian.ng/news/manufacturers-access-n68-7tr-bank-loans-in-nine-months-says-cbn/, February 9, 2026
Photo credit: The Guardian
