Implication of 2005 Recapitalization of Banks in Nigeria on the Nation’s Well Being from 2006-2018
Abstract:
The global economic crisis has contributed to the economic struggling in most developing countries. This is visible in the challenges’ combating their financial systems as evidence among most African countries including Nigeria. It has also exposed weaknesses in the functioning of their economy and led to calls for reform of the financial architecture. The crisis presents inconsistency in the economic growth of most developing nations, most especially among African countries because it is happening at a time when the region is making progress in economic performance and management (Benjamin-Addy, 2012). Therefore, present dwindling states of Nigeria economy has place a question on effectiveness and efficiency of the Nigeria financial system (Abiola&Olausi, 2014). This is due to the present financial instability ravaging the country’s economy, with some financial analyst clamouring for recapitalization of banks. They opine that, recapitalization of banks in Nigeria is one of the right steps towards building a vibrant, competent and diversified economy in the present time. The clamour for recapitalization was based on the need to increase the capital based on banks to enable effectiveness.References:
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