Banks Charge up to 60% on Loans, Pay As Low as 2.7% on Savings: CBN Releases UBA, GTB, Others' Rates
- The Central Bank of Nigeria's latest data showed how much Nigerian banks are paying customers for deposits and their charges for loan
- In the loan category, manufacturing, construction, and related sectors face the highest loan costs
- Some analysts said a lower MPR could help consolidate recent macroeconomic gains and provide room for credit expansion to the real sector
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
Nigerian bank customers are paying lending rates of up to 60% on loans while earning as little as 2.7% interest on savings deposits, according to new data released by the Central Bank of Nigeria (CBN).
The report, released at the weekend and backed by the Monetary Policy Committee (MPC), showed a widening gap between lending and deposit rates across Deposit Money Banks (DMBs), despite the Monetary Policy Rate (MPR) standing at 27%.
Source: Getty Images
CBN shares loan rates of banks
The CBN said it now makes lending rates across all DMBs public to improve transparency and guide business decisions.
Data for January showed that borrowers in manufacturing, mining and quarrying, public utilities, finance and insurance, as well as construction, face maximum lending rates of up to 60% at some banks.
Oil and gas loans are priced as high as 46%, power and energy loans at 48%t, and real estate loans at 46.5%
Capital market loans attract rates of about 19.5%, education loans 23% and loans to government 19%.
General commerce borrows at up to 45%, water supply, sewage and waste management at 36%, while information and communication loans are priced around 30%.
CBN releases data on deposit rates
On the deposit side, average interest rates on-demand deposits range from 0.48% to 7.33%, while savings deposits earn between 2.70% and 8.15%.
The figures show customers pay significantly more to banks than they earn, as the spread between lending and deposit rates continues to widen, the Nation reports.
Analysts said the high cost of borrowing is putting pressure on production costs, particularly in the manufacturing sector.
They noted that lending rates are largely driven by banks’ assessment of customer risk, with prime borrowers accessing relatively cheaper credit.
Source: UGC
Breakdown of banks' loan rates
Banks’ lending rates continue to vary depending on customers’ creditworthiness.
The maximum lending rate refers to the interest charged by banks for lending to customers with a low credit rating, while the Prime rate applies to customers with strong credit ratings.
General/Prime | Max | |
25.50 | 32.00 | |
Alpha Morgan Bank | 28.00 | 32.00 |
Citi Bank | 19.50 | 23.00 |
Coronation Merchant Bank | 25.00 | 33.00 |
Ecobank | 26.75 | 48.00 |
FBN Quest Merchant Bank | 5.00 | 33.50 |
FCMB | 31.00 | 46.10 |
Fidelity Bank | 30.00 | 36.00 |
26.00 | 38.00 | |
FSDH Merchant Bank | 28.00 | 33.00 |
Globus Bank Ltd | 31.00 | 33.00 |
Greenwich Merchant Bank | 27.00 | 30.00 |
Guaranty Trust Bank | 3.00 | 35.00 |
Keystone Bank Ltd | 30.50 | 36.00 |
Nova Bank | 30.00 | 24.69 |
Optimus Bank | 28.50 | 35.00 |
Parallex Bank | 30.00 | 32.50 |
Polaris Bank | 29.00 | 39.90 |
Premium Trust Bank | 28.00 | 36.00 |
Providus Bank | 27.00 | 35.00 |
Rand Merchant Bank Nig. Ltd | 22.50 | 23.00 |
Signature Bank | - | - |
Stanbic IBTC | 1.00 | 60.00 |
Standard Chartered Bank | 27.00 | 29.00 |
Sterling Bank | 27.50 | 35.00 |
Suntrust Bank | 22.00 | 37.00 |
Tatum Bank | 33.05 | 38.05 |
United Bank for Africa | 28.50 | 32.00 |
Union Bank | 16.00 | 37.00 |
Unity Bank | 30.00 | 38.00 |
Wema Bank | 32.50 | 34.50 |
Zenith Bank | 25.00 | 32.00 |
For a full breakdown by sectors, check here.
Best loan apps for 2026
Earlier, Legit.ng reported that as of January 2026, the federal government, through the Federal Competition and Consumer Protection Commission (FCCPC) said a total of 457 companies had secured full approval to operate as digital lenders in the country.
A total of 35 others are said to have conditional approval from the Commission, while 103 digital lenders are under the watch of the FCCPC.
Some loans continue to lead the industry based on popularity.
Proofreading by James Ojo, copy editor at Legit.ng.
Source: Legit.ng
