. Four ter1 banks account for 71%
. Fintechs disbursed N150bn loans in 2025
Kayode Tokede
Driven by industry competition and relative liquidity,10 Nigerian banks loans & advances to corporates and individual customers reached an estimated N187.13 trillion between 2021 and 2025.
This is according to THISDAY analysis of the banks’ audited result and accounts posted on the Nigerian Exchange Limited (NGX).
The10 banks investigated are: First HoldCo Plc, Access Holdings Plc, United Bank for Africa Plc (UBA), Guaranty Trust Holding Company Plc (GTCO) and Zenith Bank Plc.
Others include: Fidelity Bank Plc, Wema Bank Plc, FCMB Group Plc, Stanbic IBTC Holdings Plc and Sterling Financial Holdings Company Plc.
The loans were disbursed to critical sectors such as Oil & Gas, Manufacturing, Power, Small & Medium Enterprises, Agriculture, Real Estate, among others.
In the five years under review, Access Holdings, Zenith Bank, First HoldCo and UBA Plc were outpaced others in loans to the real sector.
Together, these four Ter1 banks account for roughly 71 per cent of the total loans, highlighting their dominant role in the financing of Nigeria’s economy.
A breakdown revealed that GTCO’s loan book is similar to those of Access Holdings, Zenith Bank, First HoldCo and UBA, reflecting its historically conservative risk and lending strategy over the years.
Between 2021 to 2025, Access Holdings has granted an estimated N42.13 trillion loans to customers, while Zenith Bank and First HoldCo disbursed N34.34 trillion and N30.76 trillion, respectively.
Access Holdings, a Pan-African financial institution, has demonstrated the broadest lending footprint, among the banks with its loan book up significantly by 221 per cent from N4.2 trillion in 2021 to N13.3 trillion in 2025.
Zenith Bank has seen its loan books rise by 211.4 per cent to N10.45 trillion in 2025 from N3.36 trillion reported in 2021. First Holdco grew its loans to customers by 211 per cent to N8.97 trillion in 2025 from N2.88 trillion declared in 2021.
THISDAY investigation showed that Wema Bank with the smallest loan portfolios in the period under review reported the highest percentage increase.
Wema Bank’s loans to customers grew by 314.92 per cent from N418.866 billion in 2021 to N1.74 trillion in 2025.
Over the years banks have competed with Fintech companies such as, Moniepoint Microfinance Bank, MoMo Payment Service Bank (MoMo PSB), Fintech subsidiary of MTN Nigeria. Airtel SmartCash, PiggyVest, Opay, Palmpay, among others that offer lucrative interest rate on loans to customers.
Moniepoint’s recent data highlight how Nigerian fintechs are powering the informal economy with credit. A recent disclosure by FairMoney MFB, showed that Fintech disbursed over N150 billion in loans to small businesses in 2025.
As technology evolves, customer demands continue to affect how businesses operate especially in the banking sector.
In recent times, Fintech startups have raised the bar, offering customers easier, faster, and cheaper financial services particularly in areas such as zero transfer fees, more attractive interest rates on savings, full online banking experience, speed and simplicity.
These competitive advantages are endearing them to an increasing number of customers and strengthening their position in the industry.
The emergence of more Fintechs, electronic payment transactions in Nigeria has further grown the industry. For instance, Moniepoint Microfinance Bank disclosed recently that it processed transactions worth N412 trillion and disbursed over N1 trillion in loans in 2025.
Analysts believe the increase in lending to the real sector is fuelled by the Central Bank of Nigeria (CBN) policies.
Speaking, the CEO, Wyoming Capital and Partners, Mr. Tajudeen Olayinka said the noted that industry competition and excess liquidity in the financial sector have played a critical role, amid macro-economic challenges.
He added that the underlined that banks are beginning to explore other alternatives to drive lending in a move to remain relevant and generate more profit.
“There is a correlational relationship between deposit and loans and expenses, and as such, national economic growth. The growth in lending and support to the private sector underlined the resilient balance sheet of banks and banks’ response to the apex bank’s push for increased lending to bolster economic activities,” he explained.
He added that the recent recapitalisation exercise of the CBN would give room for banks to lend more and support the government in achieving the $1 trillion economy.