Credit to economy rises 10% to N39trn in 5mths

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The Central Bank of Nigeria (CBN).

Credit to the economy rose by 10.1 percent or N3.5 trillion in five months to N39.1 trillion in April 2020 from N35.5 trillion in November last year.

This was disclosed in a Depository Corporation survey report released by the the Central Bank of Nigeria(CBN).

This report showed that credit to the private sector recorded a significant growth of 8.6 percent or N2.27 trillion during this period rising to N28.67 trillion in April from N26.4 trillion in November last year.

It also showed that credit to the government rose by 14.6 percent or N1.33 trillion to N10.43 trillion during the period.

According to the report, Broad Money Supply (M3 money) rose by 0.19 percent month-on-month (m-o-m) to N35.70 trillion in April 2020.

Net Domestic Assets (NDA) increased 1.8 percent to N29.78 trillion as against a 7.52 percent decrease in Net Foreign Assets (NFA) to N5.92 trillion.

On domestic asset creation, the increase in NDA was chiefly driven by a 2.96 percent month-on-month (M-o-M) increase in Net Domestic Credit (NDC) to N39.10 trillion.

Further breakdown of the NDC showed a 7.15 percent M-o-M increase in Credit to the Government to N10.43 trillion and a 1.51 percent rise in Credit to the Private sector to N28.67 trillion.