Nigeria's Lending Rate Holds Steady at 35.17% in March

The average maximum lending rate in Nigeria has remained flat at 35.17% for the second consecutive month as of March 2026. This rate is the highest permissible interest rate that lenders can charge borrowers, typically set above the benchmark prime lending rate determined by the Central Bank of Nigeria (CBN).

The CBN's Monetary Policy Committee (MPC) retained the monetary policy rate (MPR) at 27.50% in November 2024 and cut it by 50 basis points to 26.50% in February 2026. Despite this cut, the average maximum lending rate did not decrease, reflecting challenges for borrowers seeking capital.

The average prime lending rate also remained flat at 19.29% in March 2026. Inflation in Nigeria increased to 15.69% in April 2026, highlighting ongoing economic pressures, particularly in food and energy costs.

Mr. David Adnori, Vice President of Highcap Securities, noted that commercial banks regularly review lending rates based on funding costs and market conditions.