Impact Of Banks Performance On The Economic Growth Of Nigeria.

ABSTRACT

The study examined the impact of bank's performance on the economic growth of Nigeria. The study used the ex-post facto research design and Time Series data covering 20years from 1998-20 1 8.The study employed the use of multivariate regression and multiple regression analysis. Ordinary Least Square was used to analyze the data with E-views. The finding revealed that total bank deposit and private sector credit has significant impact on Gross Domestic Product of Nigeria while loans and advances; bank lending rate has no significant impact on Gross domestic product. Conclusively, the study adds to the existing literature on impact of bank's performance on the economic growth of Nigeria and indicates that bank's performance has significant impact on economic growth of Nigeria. Therefore the study recommends that loans and advances should be allocated to productivity activities so to enhance the Gross Domestic Product of Nigeria. Finally, based on the negative influence of bank lending rate on Gross Domestic Product the study recommends that bank lending rate be reduced to enable productivity unit assess funds to finance their activities.