Critical Analysis Of The Relationship Between Credit Management And Bank Distress

Project and Seminar Material for Business Administration and Management BAM

Project and Seminar Material for Business Administration and Management BAM


Abstract


Over the years, the deterioration of the quality of loans and advances in the banking sector has led to distress in the sector. The sector is at cross roads of a democratizing policy and a recovering economy. As in most resource management challenges, bank management and most especially the specialized field of risk management face significant incremental management opportunities. Due to the fact that banks are proliferating, professional manpower resources are stretching them.

Clearly, a clear headed definition of corporate risk priorities embossed upon an appropriate credit culture rather than the short term opportunistic allure for “poisonous Profit” is the way to go.

The government through its principal agent, the Central Bank of Nigeria controlled the quality of risk assets through the use of guidelines. The prudential guidelines which came into being in 1990 is one of such. Prior to this, credit quality classification and subsequent loan loss recognition were done haphazardly in banks. Even though prior to 1989 the CBN was solely responsible for bank general supervision, reports of loan loss classification were never for public consumption neither were banks given uniform guidelines to ensure safe and sound banking practice. This has however changed since 1989.The study seeks to take a critical analysis of the relationship between credit management and bank distress.

The study carried out a survey of 40respondents of the bank. Research findings revealed that there exists a casual relationship between credit management and bank distress (See table 4.1(b).Although it was established that portfolio deterioration is pervasive in the Nigerian financial system and the need for continuous loan supervision and periodic portfolio reviews the study revealed that there is efficient credit management in Zenith Bank which has led to low risk exposure and insignificant debt portfolio or overhang.


Get Complete Project Material

5,000 5000

The Complete Material Will Be Sent to You in Just 2 Steps

Quick & Simple…


Step One Purchase

Make Payment (Through Transfer) of ₦5,000 to the Account Below

Zenith BankAcc No: 1225513212
Samphina Academy
Current Account

Or CLICK HERE To Pay With Debit Card


FOR STUDENTS OUTSIDE NIGERIA
CLICK HERE To Purchase Material ($15)

Step Two Purchase

Send the Following Details on WhatsApp ( 08143831497) After Payment

  1. Payment Details

  2. TOPIC: Critical Analysis Of The Relationship Between Credit Management And Bank Distress

The Complete Material Will Be Sent To You On WhatsApp After Receiving Your Details
T & C Apply


  Contact Our Help Desk


Need a Different Topic? Perform a Quick Search



List of Related Works

Click on Any Topic to Preview the Content

samphina.academy

Samphina Academy

Samphina Academy is an Online Educational Resource Center that is aimed at providing students with quality information and materials to aid them in succeeding in their academic pursuit.