Challenges of Bank Consolidation to the Central Bank of Nigeria: A Descriptive Analysis
AbstractConsolidation is one of the trends that characterize banking industry restructuring in Nigeria. However, the emerging scale of bank mergers raises challenging policy questions that must be addressed by policy makers in the course of promoting economic efficiency while safeguarding the nation’s financial system. This paper analyses the challenges of the banking consolidation to the Central Bank of Nigeria (CBN). The paper is descriptive and uses literature survey method. Data was collected from secondary source through CBN publications, local and international journals and other published materials. The paper argues that the recent consolidation poses new challenges to the regulatory authority, particularly in the area of financial system stability. It therefore, recommends that CBN’s policies aimed at providing financial system stability and efficiency should take into consideration the process of banking consolidation and increasing globalisation of financial transactions.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 23198.
Date of creation: 2006
Date of revision:
Publication status: Published in Journal of Business Administration Vol. I.No. 2(2006): pp. 7-13
Find related papers by JEL classification:
- G38 - Financial Economics - - Corporate Finance and Governance - - - Government Policy and Regulation
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