The Impact Of Commercial Banking On Economic Development In Nigeria

ABSTRACT

 This study evaluated the impact of commercial banking towards the development of the economy in Nigeria. The data for this work is purely secondary and collected from the CBN annual reports. The study made use descriptive statistics, multiples regression and correlation analysis to achieve and objective and test the hypothesis of the study. The study focused on the commercial banks lending 7Mo the some key sectors which includes Agriculture, Manufacturing, Mining, Communication, Oil and other sectors of the economy. 1t was found that the Agricultural sector and manufacturing sector received less fund from the commercial banks when compared to mining and oil gas sectors. The lending to the Agricultural and manufacturing sector was found to have a significant impact on the economy in Nigeria. The commercial banks lending had a significant relationship with the economic development in Nigeria. It is therefore, recommended that the government and policy makers, should support cost effective lending to the sector of the economy to ensure a positive impact on the economy.