Bank Consolidation and Bank Performance in Nigeria: A Review of Current Literatures

HAUWA DANIYAN BAGUDU AND SAIDUSULEIMAN

Department of Banking and Finance

Federal Polytechnic, Bida, Niger State

E-mail: hauwadaniya@yahoo.com; suleimanbankin@gmail.com

ABSTRACT

This study reviewed various, but few recent literatures on bank consolidation in Nigeria. The data set for this paper is made up of pre and post consolidation literatures. They were all secondary data from various recent journals and textbooks. The review indicated that bank consolidation affected bank performance positively in Nigeria. Nevertheless, it  was concluded that bank consolidation could be the lasting solution to the problem of bank distress in Nigeria, and that banks should sustain a good credit policies, efficient internal control and fraud management system they are currently promoting and was also recommended among other things that the CBN should tighten its role as a watchdog for Nigerian financial as well as banking industries and make it clear that none of the twenty-five surviving banks is “too big to fail”.