According to the Central Bank bank credit to the private sector was N14.206trillion in March 2012, over N4tr more than it was just a year earlier (March 2011). The average lending to the private sector stood at N14.3tr for the year to date March 2012 about N3tr more than the entire average of N11tr obtained in 2011.
The Graphical Illustration above evidently depicts the seeming rise in lending by the banks to the private sector. Its no wonder the top 5 banks grossed over N250b in Net Operating Income this year. But who are the people borrowing and what is the money used for? I reckon we’d have to wait to find out when the Bureau of Statistics release their GDP report for the 1st quarter of 2012. For now the guessing game can continue.
