Nigeria’s Islamic Finance Industry to Continue Growing Moderately with Government’s Support: Fitch

According to Fitch Ratings (Fitch), the Islamic finance industry in Nigeria is expected to carry on with its moderate growth trajectory in 2022-2023 with continuous support from its government towards the sector, Sukuk issuance by the federal government, newly established Islamic banks’ asset growth, and developments in regulatory frameworks.

Why it Matters?

Growing Nigeria’s Islamic finance market share requires solving long-term issues such as the limited public demand for Islamic products, low awareness, and the country's evolving regulatory and debt capital market infrastructure. Market penetration has also been restricted by the small capital base of Islamic banks, limited branch & digital banking networks, low fintech usage, few pr...