The Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) reported that in December 2022, Deposit Money Banks gave their clients 130,854 new credits for a combined N947.46 billion.
Adeola Adenikinju, a member of the MPC, provided firsthand verification of this at the most recent committee meeting.
He also said that industrial assets increased by N14.36 trillion while industrial credit increased by N5.14 trillion in 2022.
Adenikinju said the maximum loan rate increased from 28.14 percent to 29.13 percent.
He said, “All measures of industry aggregates: assets, deposits, and credit rose year-on-year. Total assets of the banking industry grew by N14.36tn between the end of December 2021 and 2022. Similarly, industry credit increased by N5.14tn over the same period.
“In addition, total industry deposits rose by N7.08tn between end-December 2021 and 2022. In December 2022, a total of 130,854 new credits valued at N947.46bn were granted to various customers.
“Interest rate spread month-on-month widened to 23.42 percent in December 2022, as the maximum lending rate increased from 28.14 percent to 29.13 percent and average savings rate rose from 3.93 percent to 4.13 percent between November and December 2022, respectively”.
Before the CBN decided to redesign the naira notes, there was around N2.57 trillion in cash on the streets in December of last year.
According to the latest information available on the CBN website’s Money and Credit Statistics page, this value dropped to N788.92 billion in January 2023.
The data that is currently available shows that this decreased by 69.26% between December 2022 and January 2023.
As a result, the CBN was able to recover N1.78 trillion from the money that was stashed outside of banks.
The study also showed that there was N1.62 trillion, or 53.82 percent, less money in circulation in January 2023 than there was in December when there was N3.01 trillion in circulation.
