Banking system liquidity in Nigeria has surged sharply following the conclusion of the sector-wide recapitalisation exercise. However, growth in lending to the private sector has lagged behind the pace of liquidity expansion, pointing to a widening gap between financial system strength and credit transmission to the real economy.
Data exclusively obtained from the Financial Markets Dealers Association (FMDA) showed that banking system liquidity rose to N4.15 trillion as of April 2026. This marks a 1,253.06 percent increase compared to the N
