By Adedapo Adesanya

The Manufacturers of Nigeria (MAN) has warned that manufacturers are facing a disparity in access to structured credit, which is affecting the sector’s productivity.

In his analysis, the Director General of MAN, Mr Segun Ajayi-Kadir, explained that commercial bank credit to manufacturers declined by N1.92 trillion between December 2024 and December 2025 to N6.61 trillion from N8.53 trillion.

The figure, he said, represents a year-on-year contraction of 22.5 per cent, placing manufacturing among the sectors with the highest decline in credit access.

Mr Ajayi-Kadir said the development was troubling at a time when Nigeria requires increased investment in productive sectors to strengthen local production, reduce import dependence and create employment opportunities.

“Declining access to affordable finance is threatening factory expansion, employment and economic diversification, and government and regulators need to urgently reform industrial financing,” he said.

He noted that while manufacturing credit suffered a major decline, other sectors such as oil and gas and financial services continued to attract higher levels of bank financing, raising concerns about the allocation of capital towards productive activities.

The MAN DG blamed the worsening situation on a combination of high borrowing costs, restrictive monetary conditions, commercial banks’ risk-averse lending approach and delays in implementing targeted industrial support programmes.

He highlighted high interest rates as one of the biggest obstacles confronting businesses, noting that borrowing costs remain too expensive for long-term investments in factories, machinery upgrades and production expansion.

MAN stated that with lending rates reportedly above 30 per cent in many cases, manufacturers are finding it increasingly difficult to finance operations, maintain competitiveness and expand capacity.

The association also identified the high Cash Reserve Requirement (CRR) maintained by the Central Bank of Nigeria as another factor limiting the amount of funds available for lending to businesses.

According to MAN, commercial banks have become more cautious in extending credit because they bear the risks associated with intervention funds, leaving manufacturers unable to meet collateral and equity requirements demanded by lenders.

The association also cautioned that weakening domestic production could deepen inflationary pressures by increasing dependence on imported goods and putting additional pressure on foreign exchange reserves.

To reverse the trend, the MAN boss called for urgent measures, including the introduction of government-backed credit guarantees for small and medium-scale manufacturers.

Mr Ajayi-Kadir also urged the government to ensure the immediate implementation of the Manufacturing Stabilisation Fund and create a more direct financing structure capable of delivering single-digit interest loans to genuine manufacturers.

He said Nigeria’s industrial ambitions could only be achieved when manufacturers have access to affordable and sustainable financing.

The MAN boss warned that without a functional credit system supporting production, Nigeria’s goal of becoming a competitive manufacturing economy would remain difficult to achieve.

By Adedapo Adesanya

The NASD Over-the-Counter (OTC) Securities Exchange returned to positive territory after it chalked up 1.18 per cent on Wednesday, June 24.

The NASD Security Index (NSI) was up during the session by 50.02 points to 4,289.36 points from the previous session’s 4,239.34 points, and the market capitalisation got a N30.03 billion boost to settle at N2.574 trillion compared with Tuesday’s closing value of N2.544 trillion.

The growth witnessed yesterday was influenced by two securities, led by Central Securities Clearing System (CSCS) Plc, which improved its value by N4.68 to N79.68 per share from N75.00 per share. Food Concepts Plc grew by 25 Kobo to sell at N2.75 per unit versus the preceding day’s N2.51 per unit.

At the close of trading activities, the value of securities bought and sold by market participants went up by 1,387.1 per cent to N82.9 million from the preceding session’s N5.6 million, and the volume of securities soared by 1,162.2 per cent to 2.7 million units from the previous 211,671 units, while the number of deals was halved by 50 per cent to 19 deals from 38 deals.

Great Nigeria Insurance (GNI) Plc remained the most active stock by value on a year-to-date basis, with 3.4 billion units valued at N8.4 billion, followed by Infrastructure Credit Guarantee (Infracredit) Plc with 2.3 billion units sold for N6.5 billion, and CSCS Plc with 68.3 million units transacted for N4.7 billion.

GNI Plc also closed the session as the most traded stock by volume on a year-to-date basis, with 3.4 billion units worth N8.4 billion, followed by Infracredit Plc with 2.3 billion units exchanged for N6.5 billion, and Resourcery Plc with 1.1 billion units traded for N415.7 million.

By Adedapo Adesanya

The price of Brent crude futures, the global oil benchmark, declined by $3.34 or 4.3 per cent on Wednesday to settle ​at $73.74 per barrel, its lowest level before the start of the Iran war on February 28, 2026.

Also, the US West Texas Intermediate (WTI) crude futures lost $2.87 or 3.9 per cent during the session to sell for $70.34 a barrel.

The development came as supply concerns eased with more stranded oil tankers exiting the Strait of ‌Hormuz, which had been blocked since late February.

Market analysts noted that crude oil flows through the Strait of Hormuz are similar to ​what they were before the start of the Iran war, as tankers exit the key waterway with the help of military escorts. Around 20 million barrels of crude oil have exited the Strait of Hormuz in the last 24 hours.

Before the war began in late February, roughly 125 ships passed through the chokepoint each day, but current traffic remains a fraction of that.

Reuters reported that three stranded tankers ​carrying 5 million barrels of crude oil exited the strait on Wednesday, with two heading to Asia, shipping data showed, as the interim deal between Iran and the US began to unlock more supply stuck in the Gulf.

As Middle Eastern producers scramble to move crude that has spent months stranded in the Persian Gulf, tanker rates have exploded higher. The cost of hiring a tanker in the Gulf has nearly doubled in just a week, jumping from around $106,000 per day to more than $190,000 per day. For some very large crude carriers (VLCCs) hauling cargoes through Hormuz, daily earnings have surged to nearly $470,000.

The US also authorised Iranian oil sales this week, easing decades-old sanctions as it pushes toward a final peace deal with Iran in return for commitments on nuclear inspections and free transit through the Strait of Hormuz.

Oman said it would keep ​the strait open to shipping without imposing ⁠tolls and had designated two temporary routes north and south of the existing shipping lane to facilitate the safe passage of vessels leaving the region.

Crude inventories in the US remained tight ​on strong refining demand ⁠and amid a release of oil from the government’s emergency stash. The Energy Information Administration (EIA) said crude stocks, including commercial and those in the Strategic Petroleum Reserve, fell by 15.1 million barrels to 743.3 million barrels in the week ended June 19, which was the lowest level since 1984.