A new industry report has revealed that despite significant progress in financial inclusion, only six per cent of Nigerian adults currently have access to credit through formal financial institutions, exposing a major gap in the country's financial ecosystem and raising concerns about access to funding for households and small businesses.
The finding was contained in the Nigeria's Credit Landscape Report 2025, published by Credit Direct in June 2026. According to the report, more than 64 per cent of Nigerian adults are financially included, yet formal credit penetration remains extremely low. Credit to the private sector currently stands at 13.1 per cent of Gross Domestic Product (GDP), trailing comparable African economies such as Kenya and South Africa.
The report highlights persistent barriers limiting access to finance for entrepreneurs, households and Micro, Small and Medium Enterprises (MSMEs), even as economic activities continue to improve across key sectors. Manufacturing, agriculture and services recorded sustained growth throughout 2025, driving increased demand for working capital and business financing.
Reacting to the findings, Mutual Benefits Assurance Plc said the report underscores the urgent need for a broader financial inclusion strategy that combines access to credit with savings, insurance and long-term financial planning.
According to the Managing Director of Mutual Benefits Assurance Plc, Femi Asenuga, financial inclusion should not be measured solely by access to loans and bank accounts.
"The conversation around financial inclusion must go beyond opening bank accounts and accessing loans. True financial empowerment is achieved when individuals and businesses can access financing opportunities while also protecting their income, assets, families and future aspirations from unforeseen risks," he said.
Asenuga noted that many Nigerians remain vulnerable to financial setbacks caused by unexpected events such as health emergencies, fire outbreaks, business disruptions and loss of income.
"For many Nigerian families and business owners, a single unexpected event can erase years of financial progress. This is why insurance and disciplined savings remain critical pillars of long-term financial resilience," he added.
Mutual Benefits said it continues to support Nigerians through a wide range of insurance and wealth protection products, including life assurance, education plans, savings solutions, motor insurance, property protection and business continuity products designed to help individuals and enterprises safeguard their future.
The report also revealed that Microfinance Banks account for only 5.4 per cent of Nigeria's total loan portfolio, highlighting the financing challenges faced by small businesses and underserved communities.
To address the gap, Mutual Microfinance Bank has continued to expand access to credit for entrepreneurs, traders, salary earners and small businesses. The bank disclosed that it disbursed loans worth N1.372 billion as of December 31, 2025, while its loan portfolio grew further to N1.558 billion by the end of the first quarter of 2026.
Asenuga stressed that small businesses remain the backbone of the Nigerian economy and require greater support to unlock growth and job creation opportunities.
"Through Mutual Microfinance Bank, we are helping to bridge this gap by providing flexible financial solutions that enable entrepreneurs to grow, create jobs and contribute meaningfully to economic development," he said.
He, however, urged Nigerians to embrace a culture of savings, insurance and financial planning alongside borrowing, noting that sustainable prosperity depends not only on generating income but also on protecting it.
With economic activity expected to strengthen further in 2026, stakeholders believe that the future of financial inclusion in Nigeria will depend on creating an ecosystem where access to credit, savings and insurance work together to improve financial well-being and build long-term resilience.
Mutual Benefits Assurance Plc reaffirmed its commitment to supporting individuals, families and businesses through innovative insurance products and accessible financial services designed to promote financial security and economic empowerment.