Less than 5% of Deposit Money Banks (DMBs) credit to the industrial sector goes to the power and energy industry

Key takeaways:

  • The Manufacturing industry received the lion’s share of DMB credit to the industrial sector, consistently surpassing 50% and peaking at 56.9% in September.
  • Despite being a crucial part of Nigeria’s economy, the Oil and Gas industry received 40–42.8% of the credit, which was less than the Manufacturing industry.
  • The Power and Energy industry received less than 5% of credit throughout the period, reflecting minimal support for the industry.
  • Manufacturing’s share increased from 52.4% in January to 56.9% in September, indicating growing prioritisation of this sector.
  • Approximately 0.2% of total credit was allocated to mining and quarrying, showcasing an almost complete neglect of this sector.

The Manufacturing industry consistently received over half of the DMB credit to the Nigerian industrial sector every month from January to September 2024. The Oil and Gas industry also remained significant, with its share fluctuating between 40.0% and 42.8% over the nine months. Notably, there was a small proportion of credit allocated to the Power and Energy industry, which consistently received less than 5% of the total credit to the Industrial sector.

Source:

CBN

Period:

2024
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