Only 6% of Nigerians Access Formal Credit, Report Reveals

A report published by Mutual Benefit Assurance PLC reveals that only 6% of Nigerian adults have access to formal credit, indicating a significant gap in financial inclusion despite 64% of adults being financially included. The report highlights that the Nigerian private sector's credit stands at just 13.1% of the gross domestic product, which is below that of peer African economies like Kenya and South Africa.

Barriers to credit access persist for households and small businesses, even as the economy shows signs of improvement. The report notes that Nigeria's real sector has experienced sustained growth throughout 2025, particularly in manufacturing, services, and agriculture.

Femi Asenuga, Managing Director of Mutual Benefit Assurance PLC, emphasized the importance of financial protection and the need for a holistic approach to financial inclusion. The report also indicates that microfinance accounts for only 5.4% of Nigeria's total loan book, underscoring the need for stronger support for small and medium enterprises.

As of December 31, 2025, Mutual Microfin Bank disbursed loans totaling N1.372 billion, with expectations to increase to N1.558 billion by the end of the first quarter of 2026.