Banks’ outstanding credit to Nigeria’s manufacturing sector fell by 26.8% year-on-year to N5.19 trillion in June 2026, from N7.09 trillion a year earlier, Central Bank of Nigeria data show. The decline underscores the financing pressure on manufacturers already grappling with high production, energy, logistics and exchange-rate costs.
Credit to the sector declined steadily through the first half of the year, falling from N6.57 trillion in January to N5.02 trillion in May before a modest recovery to N5.19 trillion in June. The June figure was still about 21% below January’s level.
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The CBN’s Q2 2026 Statistical Bulletin does not establish whether the drop resulted from fewer new loans, repayments, or a reduction in outstanding balances. But the trend suggests weakening credit support for a sector that contributed 9.57% of real GDP in the first quarter of 2026.
Manufacturers have continued to press for relief from electricity costs, insecurity, multiple taxation, logistics bottlenecks and unstable exchange rates. The sector generated N1.17 trillion in VAT revenue in 2025, up from N803.53 billion in 2024.
