ATTENTION:
BEFORE YOU READ THE CHAPTER ONE OF THE PROJECT TOPIC BELOW,
PLEASE READ THE INFORMATION BELOW.THANK YOU!
INFORMATION:
YOU CAN GET THE COMPLETE PROJECT OF THE TOPIC BELOW. THE FULL
PROJECT COSTS N5,000 ONLY. THE FULL INFORMATION ON HOW TO PAY AND GET THE
COMPLETE PROJECT IS AT THE BOTTOM OF THIS PAGE. OR YOU CAN CALL: 08068231953,
08168759420
THE IMPACT OF BANK CONSOLIDATION ON OPERATIONAL EFFICIENCY IN FIRST BANK
OF NIGERIA
CHAPTER ONE
INTRODUCTION
1.1
Background of the Study
1.2
Statement of the Problem
1.3
Objectives of the Study
1.4
Significance of the Study
1.5
Research Questions
1.6
Scope of the Study
1.7
Definition of Terms
CHAPTER TWO
LITERATURE REVIEW
2.1 Introduction
2.2 Concept of Bank Consolidation
in Nigeria
2.3 Impact of Consolidation on
the Banking Sector
2.4 The
Performance of Commercial Banks in the Post-Consolidation Period in Nigeria
2.5
Post – Consolidation Challenges
2.6
Summary of the Literature
CHAPTER THREE
RESEARCH METHODOLOGY
3.1 Introduction
3.2
Research Design
3.3
Area of Study
3.4
Population of the Study
3.5
Sample Size
3.6
Instrument of Data Collection
3.7
Validity of the Instrument
3.8 Reliability of the Instrument
3.9 Method of data Presentation and
Analysis
CHAPTER FOUR
DATA PRESENTATION AND
ANALYSIS
4.1
Introduction
4.2 Respondents Characteristics
4.3 Data Analysis
4.4 Summary of Findings
CHAPTER FIVE
SUMMARY CONCLUSION AND
RECOMMENDATION
5.1 Summary
5.2
Conclusion
5.3
Recommendations
BIBLIOGRAPHY
APPENDIX
CHAPTER ONE
INTRODUCTION
1.8
Background of the Study
The consolidation of banks has been
the major policy instrument being adopted in correcting deficiencies in the
financial sector. The economic rationale for domestic consolidation is
indisputable. An early view of consolidation in banking was that it makes banking
more cost efficient because larger banks can eliminate excess capacity in areas
like data processing, personnel, marketing, or overlapping branch networks,
cost efficiency also could increase if more efficient banks acquired less
efficient ones. Though studies on efficiency in banking raised doubts about the
extent of overcapacity, they did point to considerable potential for
improvement in cost efficiency through mergers. Consolidation is viewed as the
reduction in the number of banks and other deposit taking institutions with a
simultaneous increase in size and concentration of the consolidation entries in
the sector (Bis 2001).
The driving forces in bank
consolidation include better risk control through the creation of critical mass
and economics of scale advancement of marketing and product initiatives,
improvements in overall credit risk and technology exploitation. These drivers
have led to improved operational efficiencies and larger and better capitalized
institutions. The results of this policy are neither here nor there contrary to
the expectation. The most difficult aspect of consolidation is the ones induced
by government through mergers and acquisition. Farlong (1994) claimed that
consolidation in banking is distinct 1990’s market induced consolidation
normally holdout promises of scale economics, gains in operational efficiency,
profitability improvement and resources maximization, the outcomes have however,
not totally confirmed these supposed benefits and they have varied across
jurisdictions, especially when compared with the particular pre-consolidation expectations.
Whatever the potential, the research go
far on the effects of bank mergers ahs not found strong evidence, that on
balance, mergers banks improve cost
efficiency relative to other banks. This does not mean that many mergers,
including those of some large banks, have failed to lead to significant gains
in cost efficiency. It just means that the outcomes for those banks tend to be
offset by problems encountered in other mergers, and that many banks have
improved cost efficiency without merging.
A new view is that bank mergers are
not just about adjusting inputs to affect costs; rather, they also involve adjusting
output (products) mixes to enhance revenues. Two research efforts taking this
approach are Akakhavein, et al. (1997), covering mergers in the 1980’s, and Berger
(1998), covering mergers in the 1990s. These studies find that bank mergers do
tend to be associated with improvements in overall performance, in part,
because banks achieve higher valued output mixes. While these studies do not
track all of the channels through which bank mergers affects the value of
output, they suggest that one channel has been banks’ shift towards higher
yielding loans and away from securities.
This channel is particularly
interesting given the other, results in these studies. They find that merged
banks also tend to experience a lowering of their cost of borrowed funds
without needing to capital ratios. The lower cost of funds is consistent with a
decline in the overall risk of the combined bank compared to that of the merger
partners taken separately. This apparently occurs even though a shift to loans
by itself might be expected to increase risk. One interpretation of these
results, then, is that a merger can result in a reduction in some dimensions of
risk, which then affords the post-merger bank more latitude to shift to a
higher return, though perhaps higher risk but output mix. The sources of diversification
could be differences in the range of services, the portfolio mixes, or regions
several by the merging banks.
It is against this background that
the subject matter of this research becomes worthy of investigation.
1.9
Statement of the Problem
The current credit crisis and the
transatlantic mortgage financial have questioned the effectiveness of bank
consolidation programme as a remedy for financial stability and monetary policy
in correcting the defects in the financial sector for sustainable development.
Many banks consolidation had taken place in several countries in the last two
decades without any solution in sight to bank failures and crisis, Olabisi
(2006).
As such the concerned of this
research is; does bank consolidation ahs any impact on the operational
efficiency of first Plc Kaduna? It is against this that the subject matter is
considered a problem.
1.10
Objectives of the Study
i. To identify the impact of bank
consolidation on operational efficiency of first bank.
ii.
To
asses the performance of first bank in post-consolidation period.
iii.
To
find out the problems militating against first bank in post-consolidation
period.
iv.
To
recommend workable solution to the identified problem of first bank in
post-consolidation period.
1.11
Significance of the Study
The study will be beneficial to
commercial banks in Nigeria
The study will enhance existing
knowledge of bank consolidation problems militating against their banks.
The study will enhance existing
knowledge of bank consolidation and will be a springboard to undertake similar
research.
1.12
Research Questions
i.
What
is the impact of bank consolidation on operational efficiency of first bank?
ii.
How
is first bank performing in the post-consolidation period.
iii.
What
are the problems militating against first bank in post-consolidation period.
iv.
What
are the solutions to these problems?
1.13
Scope of the Study
The study will cover an investigation
into the impact of first as well as assessment of its performance in the post-consolidation
period.
The study will equally cover problems
militating against first bank in first-consolidation period. The collection of
primary data will be restricted to first bank Kaduna
1.14
Definition of Terms
Bank:-Can be
define as a place of business that receives, lends, issues, exchanges and takes
care of money: extent credit and provide ways of sending money and credit
quickly from place to place.
Consolidation:-It
is the reduction in the number of banks and other deposit taking institution
with a simultaneous increase in the size and concentration of the consolidation
entities in the sector (Bis, 2001:2).
Economy:-Can be defined as the structure of
economic life of a country, area or system. From “Convergence”. He says that
consolidation refers to merger and acquisitions of banks by banks while
convergence refers to the mixing of banking and other types of financial
services like securities and insurance, through acquisitions or other means. He
concluded that the impact of consolidation on bank structure has seen obvious,
while its impact on bank performance has been harder to discern.
The government policy – promoted bank
consolidation rather than market mechanism has been the process adopted by most
developing or emerging economies and the time lag of the bank consolidation
varies from nation to nation. Banking sectors reforms are part of monetary policy
instruments for effective monetary systems and major shifts in monetary policy
transmission mechanisms economies in the last decade in both developed and
developing nations. The banking sector in emerging economies has witnessed
major changes to compete, attract international investment and increase capital
market growth.
There are as many reasons and
strategies for bank consolidation as there as banking jurisdictions. When the
opportunities in the operating environment for banks, either within the
boundaries of a country, an economic zone or geographical sphere, become
amenable only for market dated institutions. There is a tendency for market
induced consolidation. Many cases of bank consolidation that have been recorded
to date in the modern history of banking are of this kind, and ready examples
are the European and American bank mergers and acquisitions of the 1980s and
HOW TO GET THE FULL PROJECT WORK
PLEASE, print the following instructions and information if you
will like to order/buy our complete written material(s).
HOW TO RECEIVE PROJECT MATERIAL(S)
After paying the appropriate amount (#5,000) into our bank Account
below, send the following information to
08068231953 or 08168759420
(1) Your project topics
(2) Email Address
(3) Payment Name
(4) Teller Number
We will send your material(s) immediately we receive bank alert
BANK ACCOUNTS
Account Name: AMUTAH DANIEL CHUKWUDI
Account Number: 0046579864
Bank: GTBank.
OR
Account Name: AMUTAH DANIEL CHUKWUDI
Account Number: 2023350498
Bank: UBA.
HOW TO IDENTIFY SCAM/FRAUD
As a result of fraud in Nigeria, people don’t believe there are
good online businesses in Nigeria.
But on this site, we have provided “table of content and chapter
one” of all our project topics and materials in order to convince you that we
have the complete materials.
Secondly, we have provided our Bank Account on this site. Our Bank
Account contains all information about the owner of this website. For your own
security, all payment should be made in the bank.
No Fraudulent company uses Bank Account as a means of payment,
because Bank Account contains the overall information of the owner
CAUTION/WARNING
Please, DO NOT COPY any of our materials on this website
WORD-TO-WORD. These materials are to assist, direct you during your
project. Study the materials carefully and use the information in them to
develop your own new copy. Copying these materials word-to-word is CHEATING/
ILLEGAL because it affects Educational standard, and we will not be held
responsible for it. If you must copy word-to-word please do not order/buy.
That you ordered this material shows you have agreed not to copy
word-to-word.
FOR MORE INFORMATION, CALL:
08068231953 or 08168759420
AFFILIATE LINKS:
myeasyproject.com.ng
easyprojectmaterials.com
easyprojectmaterials.net.ng
easyprojectsmaterials.net.ng
easyprojectsmaterial.net.ng
easyprojectmaterial.net.ng
projectmaterials.com.ng
googleprojectsng.blogspot.com
myprojectsng.blogspot.com.ng
https://projectmaterialsng.blogspot.com.ng/
Comments
Post a Comment