DEPOSIT MONEY BANKS

This study investigates the Financial regulations in reducing systemic risk amongst
deposit money banks in Nigeria, spanning 10 years from 2015 to 2024. The ex-post facto research design was adopted for this study. The population of this study consists of the 24 listed Deposit Money Banks licensed to operate in Nigeria. A simple random sampling technique was adopted to select 5 banks categorized as domestic systemically important banks (D-SIBs) from the 24 licensed banks, enhancing the generalizability of the findings. Using the panel regression model analysis, the findings reveal that financial regulations such as capital adequacy ratio, reserve requirement, liquidity regulations, and asset quality have a systemically significant impact in reducing systemic risk amongst deposit money banks in Nigeria. Additionally, these regulations help prevent excessive risktaking, reduce the likelihood of bank failures, and promote public confidence in the financial system. The study recommends that regulators should continue to align with global standards like Basel III by enforcing stricter capital adequacy and liquidity requirements, and banks should adopt robust internal risk management frameworks. The research contributes to the critical understanding and evidence on which regulations are most effective in curbing systemic risk in Nigeria, providing insights for policymakers and banking industry stakeholders.

The study empirically examined the impact of financial technology on performance of deposit money banks in Nigeria over the period 2009Q1 to 2024Q4. The specific objectives of the study were to find out whether automated teller machine (ATM), point of sales terminal (POS), internet banking (INTB) and mobile banking (MOB) have significant relationship with deposit money banks performance. The fully modified least squares method was used for the analysis of data, and the results obtained revealed that automated teller machine (ATM) had significant negative relationship with deposit money banks performance;
point of sales terminal (POS) had a weak negative relationship with DMBP; internet banking (INTB) had a significant positive impact on performance, and while mobile banking (MOB) has a weak positive relationship with deposit money banks performance in Nigeria. The study conclude that in the determination of deposit money banks performance in Nigeria, ATM, POS and
INTB are relevant financial technology factors to be considered because of their critical role in ensuring high level of performance of deposit money banks in Nigeria. The study recommends among others that, management should continue to ensure that more ATM stands or points where customers can easily withdraw money, especially those who in-hard-to reach areas should be provided. Regular and routine servicing and monitoring of these ATM machines must be carried out. These will go a long way to enhance overall banks’ performance in the country.

The study examines the effect of credit risk management on the performance of Deposit Money Banks (DMBs) in Nigeria between 2014 and 2023. The study found out that non- performing loans has a negative and insignificant impact on the performance of deposit money banks in Nigeria. Capital adequacy ratio has a positive and significant impact on the performance of deposit money banks in Nigeria. Loan loss provisions has a negative and insignificant effect on the performance of deposit money banks in Nigeria. Loan to deposit ratio has a positive and significant effect on the performance of deposit money banks in Nigeria. The study recommends that government should improve regulatory frameworks to guarantee compliance with risk management procedures and sensible lending requirements. A risk-based supervisory approach that emphasizes evaluating the caliber and sufficiency of banks' credit risk management frameworks ought to be used. The Nigerian government ought to encourage industry cooperation. This will help to create platforms for information exchange and teamwork between Deposit Money Banks (DMBs), authorities, trade groups, and academic institutions in order to share best practices and lessons discovered.