Zenith, Ecobank, UBA Lead As Nine Banks Earn N2.3 Trillion As Interest On Loans In 3 Months
Legit.ng journalist Ruth Okwumbu-Imafidon has over a decade of experience in business reporting across digital and mainstream media.
With benchmark interest rates still standing at 27.50%, nine Nigerian banks have raked in a total of N2.31 trillion as net interest in the first quarter of 2025.
The unaudited financial statements filed with the Nigerian Exchange (NGX) show that Zenith Bank, Eco Bank, UBA, Access Bank, First Bank and four others had their combined loans and advances amounting to N61.69 trillion in the quarter.
This represents a slight increase from the N61.26 trillion loans and advances the banks had at the close of December 2024.
Source: UGC
The N2.21 trillion posted in net interest income is also an impressive 41.72% growth from the N1.63 trillion posted in Q1, 2024.
In response to the persistent increase in inflation in 2024, the Central Bank of Nigeria decided to adopt fiscal tightening policies.
From the beginning of the year till the end, the Monetary Policy Committee (MPC) raised the interest rates severally by a total of 875 basis points.
This took the benchmark interest rate to 27.5% by the end of the year, although it did not appear to have had the required effects on the headline inflation.
The Internal Revenue Service (IRS) describes interest income as the income individuals or institutions get from lending their funds, or putting their money into a deposit money bank, or from getting certificates of deposit on a sum of money.
The interests are often subject to a withholding tax of 10%, payable to the federal government. This amounts to about N210 billion paid on the interest income, while the customers received about N1.89 trillion.
| Bank | Net interest (Q1 2025) | Net interest (Q1 2024) | % growth |
| Access | N198.44 billion | N252.93 billion | -21.5% |
| UBA | N351.88 billion | N300.68 billion | 17% |
| FBNH | N4.86 billion | N1.01 billion | 381% |
| GTCO | N318.36 billion | N227.3 billion | 40% |
| Stanbic | N149.89 billion | N76.9 billion | 95% |
| Zenith | N591.19 billion | N306.45 billion | 93% |
| FCMB | N87.50 billion | N55.38 billion | 58% |
| Wema | N56.64 billion | N26.21 billion | 116% |
| Eco bank | N451.33 billion | N388.36 billion | 16.2% |
The PUNCH reports that the nine banks raked in a combined interest income of N14.26 trillion in the full financial year of 2024, according to their audited financial statements.
Source: UGC
Earlier, Legit.ng reported that Zenith, Access, and several other Nigerian banks increased their loans to the oil and gas sector.
This was in line with the CBN directives to increase lending to several key sectors, to encourage growth and investments.
Zenith, Access, and First Bank exceeded the N2 trillion mark in loans to the oil and gas sectors.
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Proofreading by James Ojo, copy editor at Legit.ng.
Source: Legit.ng
