The Central Bank of Nigeria (CBN) has released an updated schedule of lending rates for commercial and merchant banks, providing borrowers with a clearer picture of credit costs in the country's banking sector. The disclosure follows the Monetary Policy Committee's decision to hold the Monetary Policy Rate (MPR) at 26.50%, maintaining a tight monetary policy stance aimed at curbing inflation and ensuring price stability.
CBN Promotes Transparency in Credit Market
The apex bank stated that the publication is part of its broader transparency and consumer protection framework, enabling households, small businesses, and corporate borrowers to compare loan costs before approaching lenders. Two categories of rates are disclosed: prime lending rates, reserved for customers with strong credit standings, and maximum lending rates, which apply to borrowers with higher perceived risk.
Among major commercial banks, Guaranty Trust Bank (GTBank) offered the most competitive prime lending rate at 21.00%, with a maximum of 32.00%. Zenith Bank followed with a prime rate of 23.62% and a maximum of 32.00%, while Access Bank reported 25.50% and 32.00% respectively. United Bank for Africa (UBA) set its prime rate at 28.50% and a maximum of 32.00%, and First Bank of Nigeria charged 26.00% as its prime rate with a ceiling of 38.00%.
Wide Disparities in Lending Rates Across Banks
On the higher end, Tatum Bank recorded a prime lending rate of 41.65% and a maximum of 46.65%, while Nova Bank posted a prime rate of 33.78% with a maximum of 39.00%. Wema Bank listed 32.50% as its prime rate and 34.50% as its ceiling, and FCMB disclosed a prime rate of 31.00% with a maximum of 46.00%. The widest spread between prime and maximum rates was reported by Stanbic IBTC, whose prime rate stood at just 1.00% against a maximum lending rate of 60.00%, the highest recorded maximum in the current disclosure. Ecobank also maintained a notably elevated ceiling at 48.00%, with a prime rate of 26.75%.
Among merchant banks, Rand Merchant Bank Nigeria posted identical prime and maximum rates of 19.50%, suggesting narrow risk differentiation in its loan book. Quest Merchant Bank disclosed an unusually low prime rate of 5.00% against a maximum of 32.50%. Signature Bank did not publish figures for either category.
Complete List of CBN Lending Rates
The full schedule of prime and maximum lending rates includes: Access Bank (25.50%, 32.00%), Alpha Morgan Bank (27.00%, 33.00%), Citi Bank (19.00%, 20.00%), Coronation Merchant Bank (25.00%, 28.00%), Ecobank (26.75%, 48.00%), Quest Merchant Bank (5.00%, 32.50%), FCMB (31.00%, 46.00%), Fidelity Bank (30.00%, 36.00%), First Bank of Nigeria (26.00%, 38.00%), FSDH Merchant Bank (22.00%, 33.00%), Globus Bank Ltd (28.50%, 33.00%), Greenwich Merchant Bank (23.60%, 29.50%), Guaranty Trust Bank (21.00%, 32.00%), Keystone Bank Ltd (30.50%, 36.00%), Nova Bank (33.78%, 39.00%), Optimus Bank (28.50%, 35.00%), Parallex Bank (30.00%, 32.50%), Polaris Bank (29.00%, 41.00%), Premium Trust Bank (28.00%, 36.00%), Providus Bank (26.50%, 35.00%), Rand Merchant Bank Nigeria Ltd (19.50%, 19.50%), Stanbic IBTC (1.00%, 60.00%), Standard Chartered Bank (27.00%, 29.00%), Sterling Bank (26.00%, 33.50%), SunTrust Bank (22.00%, 37.00%), Tatum Bank (41.65%, 46.65%), United Bank for Africa (28.50%, 32.00%), Union Bank (16.95%, 38.00%), Unity Bank (30.00%, 38.00%), Wema Bank (32.50%, 34.50%), and Zenith Bank (23.62%, 32.00%).
Impact on Borrowers and Market
The CBN's disclosure is expected to enhance competition among banks and empower consumers to make informed borrowing decisions. With prime rates ranging from 1.00% to 41.65% and maximum rates from 19.50% to 60.00%, borrowers can identify the most favorable terms based on their credit profiles. The data also highlights significant disparities, particularly in merchant banking, where Quest Merchant Bank's prime rate of 5.00% contrasts sharply with Tatum Bank's 41.65%.
In a related development, the Federal Competition and Consumer Protection Commission (FCCPC) released an updated list of approved loan applications in 2026, aiming to ensure only licensed digital money lenders operate in Nigeria's fintech space. This move aligns with the CBN's transparency efforts, providing further clarity for consumers navigating the credit market.
