THE EFFECT OF MONETARY VARIABLES ON FINANCIAL INSTITUTION PERFORMANCE IN NIGERIA (A CASE STUDY OF FIRST BANK PLC)

The study has been carried out to investigate the effect of monetary variables on financial institutions performance in Nigeria. Monetary policies are vital instrument to economic growth of an economy. The research applied both primary and secondary data to investigate the study. The regression method was used to test the reliability of the data collected. It was found out that monetary policies of the federal Government has fielded positive result to the economy. The researcher recommended amongst other that Government should regulate the monetary variables on banking operations. Bank should lend excess reserve out or invest them. It is then ,there should be more stimulation to the economy and that particular group of industry (construction in industry) or type of borrower should not be clobbered by tight monetary variable. In this wide, industries should be tasked heavily in other that monetary variables cannot hit such industries either than anyone.