Consumer credit outstanding declined by 13.32 per cent to N3.19 trillion in November 2025 from N3.68 trillion in the preceding month, the Central Bank of Nigeria (CBN) has said. The apex bank disclosed this in its November 2025 economic report released on Friday.

Consumer credit refers to no-collateral, short and intermediate-term loans, extended by banks or online lenders, to finance the purchase of commodities or services for personal consumption or to refinance debts incurred for such purposes. According to the report, personal loans accounted for 62.38 per cent of outstanding consumer credit in Q3’2025, while retail loans accounted for the balance of 37.62 per cent.

The report said: “Total credit to the economy expanded marginally, by 0.14 per cent to N57.02 trillion, from N56.94 trillion in October, driven by the 1.35 per cent increase in credit to the services sector. “Loans to the industry sector declined by 1.60 per cent, while credit to the agriculture sector was unchanged.

“The services sector maintained its dominance, constituting 56.53 per cent of the total credit, followed by the industry and agriculture sectors with 37.80 and 5.67 per cent, respectively. “Consumer credit outstanding declined by 13.32 per cent to N3.19 trillion, from N3.68 trillion in the preceding month. “The decrease was owing to contraction in both retail and personal lending.

Personal loans fell by 6.57 per cent but remained dominant, constituting 62.38 per cent (N1.99 trillion), while retail loans accounted for the balance of 37.62 per cent (N1.20 trillion).” Analysts attribute the decline in consumer credit in November last year to the monetary policy tightening measures introduced by the CBN as part of its efforts to rein in inflation.

In fact, in the November 2025 economic report, the CBN stated: “The average liquidity in the banking system declined to N0.19 trillion from N0.34 trillion in October, driven, largely by Open Market Operations (OMO) backed FX swaps & auctions, Cash Reserve Ratio (CRR) debits, and FX sales.

“The lower liquidity in the banking system was reflected in the slight decrease in activities at the Standing Deposit Facility (SDF), with placements reducing by 1.21 per cent to N60.65 trillion, from N61.39 trillion in the preceding month. “Requests at the Standing Lending Facility (SLF) stood at N0.08 trillion, compared with N0.97 trillion in October.”