AN APPRAISAL OF CREDIT MANAGEMENT IN NIGERIAN BANKS

The objective of the study is to ascertain the credit management of banks in Nigeria, especially the commercial banking system which was used as the case study, putting into consideration the distress it had witnessed in recent times. Hypothesis testing was used as the instrument or techniques of data analysis. Using a survey method in analyzing the data and using questionnaire analysis, case proved that within the past decades credit management in Nigerian banks have been quite ineffective. The findings made are as following a) The high incidence of non performing credits witnessed in most Nigerian bands is as result of poor quality management. b) It is also attributable to poor quality supervisor and monitoring of approved loan facilities. c) The present techniques applied in minimizing the high degree of performing loans in banks debt portfolio is grossly in adequate and inefficient. d) There is no separate department in most Nigerian banks that is charged with the sole purpose of 3effecive and efficient credit administration. e) The loan portfolio of most Nigeria banks contains a high level of no-performing loan. f) The wide spread distress of the data 90’s is as a result of poor credit management by Nigerian banks which had a ripple effect of our economy. g) There is a loss of public confidence in the banking sector due to its poor performance. Thus, it was recommended that banks should employ a management personnel of high quality performance and with a desired level of experience. In the banking field so as to improve the need to step up the level of supervision and monitoring approved loan facilities by banks. There is also the need to established a separate department to take charge of credit management, administration and recovery. The above authored measures will aid establishing the bank sector, thereby boosting the Nigerian economy.