STAFF PERCEPTION OF THE IMPACT OF THE TWENTY-FIVE BILLION NAIRA RECAPITALIZATION POLICY IN NIGERIAN BANKING INDUSTRY. A CASE STUDY OF SELECTED BANKS
This study investigated the staff perception of the impact of the N25 billion minimum capital base on Nigerian banking system using case study of some selected banks namely; First Bank of Nigeria Plc, Union Bank of Nigeria Plc and United Bank for Africa Plc. The research was geared towards finding both the positive and negative impacts of the N25 minimum capital base on Nigerian banking system, the impacts of the N25 billion minimum capital base on bank workers/bankers e.t.c. To achieve this, relevant literatures were reviewed. Also using the selected banks, the researcher employed both primary and secondary sources of data collection for the analysis. The primary sources of data collection employed include questionnaires, oral interview and observations while the secondary sources of data collection employed include textbooks, newspapers, journals and seminar papers. Statistical tools like tabulations and Chi-square were used to analyze the data collected. From the analysis done, the following findings were made; the N25b minimum capital base has significant impacts on the Nigerian banking system, the N25b minimum capital base has not significantly improved the competitive efficiency of the Nigerian banks, the N25b minimum capital base has not led to retrenchment of many bankers and N25b minimum capital base has led to mergers and acquisition within the banking industry which may of course lead to more strong and reliable but few banks. The study equally concluded that the exercise posed some problems on the regulatory authorities. Finally, the researcher recommended that; the banks’ capital base should be stratified into investment and universal bank categories with each having a capital base according to the services it renders and its risk profile, necessary policy framework should be established to improve on the quality of bank management and the general security network.