Nine Nigerian banks generate N14tn in revenue from customer’s interest in 2024

Nine Nigerian banks generated a combined interest income of N14.26 trillion in 2024.

This is according to an analysis of the audited financial results of the financial institutions.

In contrast, the manufacturing sector, referred to as the real sector, laments increasing operational costs amounting to a combined figure of N2.5 trillion in 2024 alone.

An analysis of the audited financial results of First Holdco, Guaranty Trust Holding Company, Zenith Bank Plc, United Bank for Africa, FCMB Group, Fidelity Bank, Stanbic IBTC Holdings, Access Holdings, and Wema Bank filed with the Nigerian Exchange Limited (NGX) showed revenue earned from interest in the nine banks in the 2024 financial year rose by 119.55 percent to N14.26 trillion compared to N6.49 trillion in 2023.

A breakdown of the results of the nine banks showed that Access Holdings grew its interest income by 98.69 percent to N3.11 trillion from N1.56 trillion in the previous year.

Zenith Bank’s interest income rose by 137.74 percent to N2.72 trillion. First HoldCo, the parent company of FirstBank, saw its interest income increase by 155 percent to close at N2.39 trillion.

Also appreciated by more than 100 percent were the interest incomes to United Bank for Africa, N2.37 trillion (120 percent); Guaranty Trust Holding Company, N1.32 trillion (148 percent); and Stanbic IBTC Holdings, N566 billion (109 percent).

Meanwhile, First Monument Bank, Fidelity, Wema, or the non-Fugaz banks earned billions in profits from interest charges.

The interest income of FCMB Group rose by 75.16 percent to N621.81 billion. That of Fidelity Bank rose by 85.03 percent to N803.05 billion, and Wema Bank’s interest income increased by 91.03 percent to close the year at N354.63 billion from N185.64 billion.