RISK MANAGEMENT IN NIGERIAN BANKS: A CASE STUDY OF UNION BANK PLC
TABLE OF CONTENTS
Title
page……………………………………………………..ii
Declaration………………………………………………….iii
Certification………………………………………………….iv
Dedication…………..………………………………………..v
Acknowledgements…………………………………………vi
Table of
contents………………………………………….viii
Abstract………………………………………………………xi
CHAPTER ONE: INTRODUCTION
1.1
Background of the Study………………………….1
1.2
Statement of the Research Problems……………3
1.3
Objectives of the Study……………………………..4
1.4
Scope of Study………………………………………..5
1.5
Significant of Study………………………………….6
1.6
Statement of Research Hypothesis………………7
1.7
Limitation of Study………………………………….8
1.8
Corporate Profile of Union Bank…………………9
1.9
Definition of Terms…………………………………12
CHAPTER TWO: LITERATURE REVIEW
2.1
Introduction…………………………………………16
2.2
Types of Risk………………………………………..27
2.3
Risk from Mismanagement………………………31
2.4
Risk Analysis and Evaluation……………………35
2.5
Measurement of the Risk…………………………36
2.6
Solvency and Regulatory control……………….44
References………………………………………………….48
CHAPTER THREE
3.1
Introduction…………………………………………49
3.2
Research Design……………………………………49
3.3
Sampling Procedures/Sampling Size………….51
3.4
Data Analysis………………………………………..56
References…………………………………………………..59
CHAPTER FOUR: DATA PRESENTATION AND ANALYSIS
4.1
Introduction…………………………………………60
4.2
Questionnaire Analysis……………………………60
CHAPTER FIVE: SUMMARY OF FINDINGS, RECOMMENDATION AND
CONCLUSION
5.1
Introduction…………………………………………81
5.2
Recommendation…………………………………..82
5.3
Conclusion…………………………………………..84
Bibliography………………………………………………..87
Appendix…………………………………………………….88
ABSTRACT
Customers of banks expect their
bankers to provide them with loans and advances to makeup any short fall in
their funds requirement for transactional motive.
This project is sub-divided into
five chapters, which focuses on Risk Management in Nigeria Banking Institution.
Questionnaire were distributed to
collect the relevant information from the respondent, percentage and chi-square
analysis were used and the hypothesis testing was carried out, it was found
that there is risk in bank which enable me to conclude that there is risk in
bank lending and because the rules of lending are not often followed when
granting credit facilities to their customers.
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
The purpose of this project is to highlight the
instability, uncertainty, inaccurate planning and budgeting process and loss of
effective control management function in the financial institutions, occasioned
by the dynamic macro economic variable in Nigeria within the last decade.
The economic variables were introduced apparently
to achieve or obtain a level of economics sanity in the country, under
different names like structural adjustment programme, exchange control
deregulation and price control.
Consequently, the management of policy issues in
financial institution has become not only volatile but unpredictably difficult.
It has become toughly risky for those institutions to carry on their normal
functions.
The banking industries are susceptible to all
forms of risk. It has an ageing long history in the overall operation of all
banks.
Risk is a commonly used word. The Oxford learning
dictionary, defines risk as the possibility of meeting danger or suffering harm
or loss. All human and corporate under taking have certain element of risk to
avert risk, forward looking in management must show sufficient interest in the
management and control of these Operations in the bank and monitor the possible
impact these may have on the banking performance. This study attempts to
emphasize this point in bank management.