Basel Ii And Financial Performance Of Deposit Money Banks In Nigeria

📄 Project Abstract

The main thrust of Basel II framework is to ensure that banks maintain adequate liquidity and higher capital buffers that will match their operations in the course of financial intermediation. In spite of this thrust, unanimity does not exist among bankers, financial regulators, scholars and researchers on the ability of Basel II to prevent future banking crisis and the effects it may have on the profitability of banks. While the protagonists lauded it to be a remarkable financial reform, the critics rebutted it to be a formidable regulatory reform that will affect the financial performance of banks adversely. In view of this divergence, this study examined the impact of Basel II on financial performance of deposit money banks (DMBs) in Nigeria. Secondary data were collected over a period of 5 years from the annual reports and accounts of 8 sampled DMBs. A correlational research design was adopted while a parametric analytic technique of the OLS multiple regressions with panel data met...