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Effect of bank failure and economic development in Nigerian Banks occupy the most strategic point in the financial system of the economy for a total of bank to fait between 1992 to 2002 a space of four years, means that something definitely is wrong. This study is not antagonistic of any other rather it is complementary. Others works have to been used here and duty acknowledge but everything is with an intent to find a lasting solution to the issue of bank failure. The study will be base upon data collected through information sifted from books journals annuals, periodicals. All the relevant data obtain during the collection is going to be analyze generally ad used to deduce the findings. In the process of this project, certain questing have to be asked. Solution proffered and prospects for the failure explain but none of them seems to have solved the problem. The research questions are thus is it the inadequate attention accorded to un-organized private sector in favour of the organized sector (especially the merchant banks). Is it the erosion of their capital base due to inflationary trends in the economy not enough? Is it due to lack of technical expertise in most banks? And is it due to poor internal control systems and the rate at which banld 90 in liquidation? In respect of all this question, the researcher discover that Nigeria economy is still under developed one and will take the astuteness of every single Nigeria to get it out of the doldrums. In the researcher view, it is only when the economy become stablemen when failure might not be enbirdy absent but reduced to rate. The researcher as taken a measure, that every me has to play a role and not only the authorities.


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