Nigerians increasingly borrowing to build houses — CBN

Credit for house purchases by households rose to 9.6 index points in the second quarter of 2026 (Q2’26), indicating a notable increase in borrowing by Nigerians to acquire personal homes.


The Central Bank of Nigeria (CBN) disclosed this in its Credit Condition Survey Report for Q2’26, noting that financial institutions reported an overall growth in credit availability across secured, unsecured, and corporate lending categories during the period.


Lenders also recorded lower default rates across major categories.Respondents in the survey reported that credit demand increased to 15.1 index points for secured lending and 15.2 index points for corporate lending, while unsecured lending remained subdued at -1.2 index points.


Within the household segment, consumer loans increased to 11.2 index points, credit for house purchases rose to 9.6 index points, mortgage or re-mortgage lending grew to 13.3 index points, and small business lending to households increased to 26.4 index points. Regarding unsecured household credit, demand for overdraft facilities and personal loans grew to 7.9 index points, whereas credit card lending from households declined to -2.0 index points.


In the corporate sector, credit demand expanded across various business sizes, rising to 26.5 index points for small businesses, 25.5 index points for Medium Private Non-Financial Corporations (PNFCs), and 8.9 index points for Large PNFCs.


Meanwhile, credit demand for Other Financial Corporations (OFCs) remained unchanged at 0.0 index points.The apex bank added that commercial lenders observed a widespread decline in default rates across secured and unsecured loans, as well as throughout all corporate borrower categories, including small businesses, medium and large PNFCs, and OFCs.