Tuesday, May 12, 2026
26.2 C
Lagos

Banks Must Lend to Real Sector to Spur Growth

Godwin Emefiele
Governor
Central Bank of Nigeria

 The Nigerian economy cannot enjoy sustainable growth unless banks begin to lend to operators in the real sector.

This was the position of Dr. Uche Olowu, President/Chairman of Council, Chartered Institute of Bankers of Nigeria (CIBN) while speaking at the 2020 Economic Outlook Forum organised by the Finance Correspondents Association of Nigeria (FICAN) in Lagos.

Olowu made it clear that no economy has grown without access to capital. He added that without access to capital, there is nothing that businesses could do to move forward. He expressed optimism however that banks will move the needle on lending in 2020.

“Banks are re-strategising and focusing on niche areas. They are ready to lend to those that are creative. They are galvanizing their credit portfolio and those with creative and innovative ideas will readily have access to credit.”

He equally expressed displeasure with the borrowing culture in Nigeria which he said contributes largely to the problem of Non-Performing Loans (NPLs) in the banking sector.

“Borrowing culture in Nigeria is bad and some government policies also caused the issue of NPLs but banks need to lend to the real sector.”

spot_img
spot_img
spot_img

Hot this week

Pleias, GSMA Launch ‘CommonLingua’, Open Source Language Identification Model Supporting 61 African Languages

Pleias and the GSMA have announced the release of CommonLingua,...

Unity Bank Disburses Over N500m Through SHOCOF to Support Traders

As part of efforts to promote SMEs and strengthen...

CBN Engages Sub-national Govts, Reaffirms Commitment to Inflation Targeting

The Central Bank of Nigeria (CBN) has emphasised the...

Guinness Nigeria CEO Attributes Strong 2026 Start to Operational Efficiency, Localised Decision-Making

The Managing Director/CEO of Guinness Nigeria Plc, Girish Sharma...

Stanbic IBTC Reinforces Leadership in Trade Finance at GTR West Africa 2026

L–R: Seun Ogundolapo, Head, Trade, Transaction Banking, Stanbic IBTC...

Topics

NCC: Re-engineering Regulation, Management Tools to Drive Telecoms Sector

L-R: Quassim Odunmbaku, Special Assistant, ECSM's office, NCC; Abulaziz...

Fidelity Bank Enhances Maternal and Child Healthcare Delivery at ESUTH

L-R: Public Relations Officer, Enugu State University Teaching Hospital...

Tope Smart, 47th AIO President, Unveils 5-Point Agenda

 L-R: Wife of the new President of African Insurance...

Stanbic IBTC Reports N83bn Profit in 2020, Holds AGM May 27

In its audited financial statements for the period ended...

ADB Achieves 100% Investment in Green Energy Projects in 2017

The African Development Bank achieved a 100% investment in...

Africans Risk Poverty, Hunger from Rising Temperature

Yesterday, the Intergovernmental Panel on Climate Change released a...

Great Nigeria Insurance Targets Top 5 Ranking via Optimal Performance

Cecilia Osipitan Managing Director/CEO Great Nigeria Insurance Plc To position it for...
spot_img

Related Articles

Popular Categories

spot_imgspot_img