THE PROBLEMS OF BANKING SYSTEM IN NIGERIA

Banking in Nigeria has gone through very changes within this decade. The industry has grown beyond optimistic expectation. Over the period, the number of banks expanded fivefold, banking operations were substantially deregulated, competitions increased and banks were forced to be more innovative and service oriented. Banking system is expected to offer effective and efficient services to its customers and the economy as a whole. It is seen that a bank with limited problem will support and revitalize a respectable and dependable banking system. Unfortunately, the uncontrolled rate of growth of the industry has produced undesirable side effects like increase in fraud and other form of banking malfeasance cash shortages while mismanagement, bankruptcy and illiguidity are found to cut across the whole banking system through the activities of board members.