MBABANE – Personal loans recorded the strongest growth in December 2025, rising by 5.9 per cent to E3.8 billion, signalling increased appetite for short-term, consumption-driven credit among households.
This is according to the Central Bank of Eswatini’s (CBE) latest Monthly Statistical Release for December 2025/January 2026, which shows that credit extended to households and non-profit institutions serving households (NPISH) continued to gain momentum during the festive season.
Overall, credit extended to the private sector rose to E22.4 billion in December 2025, reflecting a 2.1 per cent month-on-month increase and a 9.8 per cent year-on-year expansion.
The growth was largely supported by increased borrowing by both households and businesses.
Credit extended to households and NPISH grew by 3.2 per cent month-on-month and 8.9 per cent year-on-year to reach E9.4 billion in December 2025.
The expansion was broad-based across the major lending categories – housing, motor vehicle and other personal loans – but unsecured personal loans registered the fastest pace of growth.
The CBE noted that ‘other (unsecured) personal loans registered the strongest growth of 5.9 per cent to E3.8 billion, indicative of higher demand for short-term consumption-oriented credit’.
This suggests that households increasingly relied on unsecured borrowing to finance immediate consumption needs, particularly during the festive period when spending traditionally spikes.
Motor vehicle loans also increased by 2.8 per cent to E1.4 billion, while housing loans recorded slower growth of 0.9 per cent to close at E4.3 billion.
The relatively modest growth in housing loans compared to personal loans points to a preference for short-term liquidity over long-term asset acquisition during the review period.
The December data reflects seasonal patterns typically associated with heightened consumer activity. Increased household expenditure on goods, travel, school-related costs and social commitments often translates into higher demand for unsecured lending.
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