CEM REPORT | The Central Bank of Nigeria, (CBN), has revealed in a recent report that credit to the Federal Government rose by 37 percent in five months.
While credit to the private sector stood at 8.5 percent in the same period.
The apex Bank revealed this in its Money and Credit Statistics.
Data from the report details that credit to the government stood at N4.94 trillion at the end of May which is 37 percent higher from N13.32 trillion recorded at the end of December 2021.
However, the apex Bank extended N3 trillion in credit to the private sector representimg a 8.5 percent increase to N38.2 trillion at the end May from N35.2 trillion extended in December.
Consequently, credit to the economy rose by 16.3 percent representing 7.94 trillion resulting to N56.5 trillion at the end of May from N48.5 trillion at the end of December, Vanguard reports.
However, on a month-on-month basis, (MoM), credit to the economy rose by 3.0 percent representing a N56.5 trillion from N52.8 trillion in April.
While credit to the private sector rose by N600 billion a 1.5 percent to stand at N38.2 trillion in May from N37.6 trillion in April 2022 on a MoM basis.
Credit to the government on a MoM basis increased by 6.4 percent to N18.2 trillion in May from N17.1 trillion in April.
Meanwhile, Currency Outside Banks, (COB), fell by 6.4 per cent during the five months period to N2.75 trillion at the end of May from N2.94 trillion at the end of December 2021.