Banking Industry in Nigeria - 5028 Words

THE BANKING INDUSTRY AND THE NIGERIAN ECONOMY POST-CONSOLIDATION By B. B. EBONG GROUP MANAGING DIRECTOR/CHIEF EXECUTIVE UNION BANK OF NIGERIA PLC ABSTRACT Against the backdrop of the role of banks as financial intermediaries and their function as the engine of growth of the economy, this paper examines the extent to which the banking industry has helped to stimulate economic activities in Nigeria and what the prognosis looks like in the post-consolidation era. The paper notes that the banking industry in Nigeria witnessed a remarkable growth in terms of deposit base, number of branches, total asset and volume of loans and advances, especially since the de-regulation of the financial services sector in the last quarter of 1986. However,†¦show more content†¦Furthermore, banks act as a conduit for the transmission of monetary policy. They provide a veritable platform when it comes to the implementation of monetary, credit, foreign exchange, and other financial sector policies of the government. Among other things, monetary policy is designe d to influence the cost and availability of loanable funds with a view to promoting non-inflationary growth. The instruments available to the Central Bank to achieve this include open market operations (OMO), the cash reserve ratio (CRR), liquidity ratio (LR) and of course, moral suasion. The capacity of the banking industry to perform these functions effectively is, to a large extent, determined by the financial health of the individual institutions themselves and soundness and viability of the industry as a whole. For instance, where the majority of banks are adjudged to be weak and unhealthy, that will impair the ability of the industry to lubricate economic growth and vice versa. Against this background, the objective of this presentation is to examine the extent to which the banking industry has helped to stimulate economic activities in Nigeria and what the prognosis looks like in the post-consolidation era, come January 2006. To achieve its objective, this paper is organised into five parts. Following this introduction, we review the performance of theShow MoreRelatedEffect of Monetary Policy in Banking Industry in Nigeria1068 Words   |  5 PagesCHAPTER THREE RESEARCH METHODOLOGY 3.1 AREA OF STUDY The area of study o this research work is to determine the effect of monetary policy on the performance of banks in Nigeria. This study will cover all the commercial banks that have been in existence since 1975-2004. More so, the aggregates rate is used in assessing their performance. 3.2 METHOD OF INVESTIGATION/SOURCE OF INFORMATION According to Asika (2002), research work can be defined as the restructuring of investigation aimed at identifyingRead MoreProblems, Solutions and Prospects for the Development and Progress of the Banking Industry in Nigeria1209 Words   |  5 PagesAHMADU BELLO UNIVERSITY ZARIA FACULTY OF ADMINISTRATION DEPARTMENT OF ACCOUNTING AUDIT MANAGEMENT ACCT 707 USENI YUSUF ONWUDE MBF/ADMIN/0483/2009-2010 [pic][pic]INTRODUCTION SOLUDO.C (2004: 4) The Nigerian banking system has undergone remarkable changes over the years, in terms of the number of institutions, ownership structure, as well as depth and breadth of operations. These changes have been influenced largely by challenges posed by deregulation of theRead MoreRetention Strategies in Post Consolidation Banking Industry in Nigeria (a Case Study of First Bank Nigeria Plc)1339 Words   |  6 PagesCHAPTER ONE Introduction The Nigerian banking industry is one of the most dynamic and competitive industries in the Country. The banking industry has transformed rapidly in the last ten years, shifting from transactional and customer service-oriented to an increasingly aggressive environment in which competition for revenue is top priority. The Nigerian Bank can now fit into the global definition of bank. Consolidation of the Nigerian Banking sector is one of many reforms of the Gen. ObasanjoRead MoreThe Impact of Economic Meltdown on the Nigeria Banking Industry (a Case Study of Intercontinental Bank Plc).13502 Words   |  55 Pages ABSTRACT This study tends to unravel the effects of economic meltdown on employee productivity in the Nigerian banking system using the August 14, 2009 CBN intervention into commercial banks (as a result of the meltdown originating from unsecured credits and poor bank management in the Nigerian commercial banking system) as a benchmark to analyze the effects. Data was collected from journals, interviews and direct data from specific units of the bank. The appraisal of theRead MoreThe Impact of Information and Communication Technology (Ict) on Profitability in the Nigeria Banking Industry: Focus on Some Selected Banks4006 Words   |  17 PagesTHE IMPACT OF INFORMATION AND COMMUNICATION TECHNOLOGY (ICT) ON PROFITABILITY IN THE NIGERIA BANKING INDUSTRY: FOCUS ON SOME SELECTED BANKS BY AKOMBO TERSEER SIMON BSU/MS/MBA/09/3150 A SEMINAR PAPER PRESENTED TO THE DEPARTMENT OF BUSINESS MANAGEMENT, BENUE STATE UNIVERSITY, MAKURDI AUGUST, 2011 Abstract Commercial banks—assaulted by the pressures of globalization, competition from non-banking financial institutions, and volatile market dynamics—are constantly seeking new ways to add value toRead MoreEssay On Corporate Governance1029 Words   |  5 PagesThis was adhered to by a comparable code by the Central Bank of Nigeria in 2000 (CBN, 2006) to deal with corporate governance practices in Nigerian financial institutions. Nevertheless, lessons from the corporate collapses and also losses in the last couple of years with respect relative to banks like Intercontinental Bank Plc, Bank PHB Plc, Societe General Bank, Afri-Bank Plc as well as Oceanic Bank Plc have actually highlighted the function, corporate governance techniques could play in keepingRead MoreChallenges of Microfinance Banking in Nigeria1603 Words   |  7 PagesCHALLENGES OF MICROFINANCE BANKING IN NIGERIA-1 Nigerians, like many other Africans are generally known as their brother’s keepers in view of the extended family system. But when truly analyzed, there is a possibility that this may not be so? Perhaps a hypothetical deep may reveal that not up to 10% of Nigerians would invest in ventures or people that would yield them nothing in return and here I mean, â€Å"Returns in the short run or in the immediate†. The returns may be financial, emotional, spiritualRead MoreElectronic Commerce : A New Commercial Revolution1012 Words   |  5 Pagespurchase items and services. Electronic-commerce in Nigeria is at the beginning stage. However, one aspect of Electronic-commerce that has demonstrated to be fruitful in Nigeria is electronic banking (E-banking). The term electronic banking or e-banking covers both computer and telephone banking. Electronic banking technologies greatly expanded in recent years. E- Banking service is based on the use of new technologies to provide various banking services directly to customers around the clock. BanksRead MoreThe Role And Development Of The Global Islamic Economy In Malaysia1127 Words   |  5 Pagesenvironment that supports smooth functioning of the Islamic finance industry in new jurisdictions, as well as to advance developed Islamic financial markets to the next level. An enabling legal and regulatory framework, a competent talent pool, and greater product innovation to cater for the diverse demographic needs of the region’s population and awareness are among key areas for improvement. MENA, the most advanced Islamic banking markets are in Saudi Arabia, Bahrain, Kuwait, Qatar and the UnitedRead MoreIntellectual Capital And Corporate Performance In Nigeria1690 Words   |  7 PagesINTELLECTUAL CAPITAL AND CORPORATE PERFORMANCE IN NIGERIA BANKS Dr.Egungwu, Ikenna Banking Finance Department, Chukwuemeka Odumegwu Ojukwu University, Anambra State, Nigeria E-mail: ikennaegungwu@yahoo.com Egungwu, Ngozi Ursula Accountancy Department, Chukwuemeka Odumegwu Ojukwu University, Anambra State, Nigeria E-mail: ngoziegungwu@yahoo.com Abstract This study is on the interaction between corporate performance variables and Intellectual capital