- The Complete Research Material is averagely 55 pages long and it is in Ms Word Format, it has 1-5 Chapters.
- Major Attributes are Abstract, All Chapters, Figures, Appendix, References.
- Study Level: BTech, BSc, BEng, BA, HND, ND or NCE.
- Full Access Fee: ₦6,000
Get the complete project »
ABSTRACT
The study has been carried out with the intention to ascertain the effectiveness of various micro-prudential determinants of capital adequacy ratio in leading its behaviour and their relational impacting power on its measure for deposit money banks. This research study has employed panel data of selected twelve deposit money banks from 2005-2014 for the independent and dependent variables. The descriptive statistical analysis has been carried out to measure individual powers of each micro-prudential determinant of Capital Adequacy ratio. Thus, based on these discussions and analysis in the preceding chapters, the study concludes as follows:
Generally three of the four independent variables of the study namely: deposits to assets ratio, return on assets ratio and assets quality ratio are significantly related to capital adequacy ratio, which is the only dependent variable of the study. A change in the combination of the four variables would result to about 60% change in capital adequacy ratio. Also, changes in loan portfolio as a result of increase or decrease in the quantum of loans grated to customers does not significantly impact capital adequacy ratio position.
The capital adequacy ratio of Nigerian banks is well above the regulatory average of 8% in Basel II and 10.5% in Basel III. It is therefore not an exaggeration if from the average observed capital adequacy ratio of about 28% from the sample of the study, it is concluded that Nigerian deposit money banks are adequately capitalised both in terms of the quantity and quality of capital.
Background to the Study
Capital Adequacy Ratio (CAR) is one of the fundamental measures of the strength and wellness of banks the world over. The term is an important measure of ―safety and soundness‖ for banks and depository institutions because it serves as a buffer or cushion for absorbing losses (Abba, Peter, & Inyang, 2013). Capital Adequacy is the first letter ‗C‘, in the popular acronym ‗CAMELS‘ in banking parlance. The importance of the concept has drawn the attention of financial experts and policy makers both locally and internationally, especially Central Banks, Federal Reserves, Deposit money banks, Insurance Companies and the World Bank and has led to the popular Basel Accords. The Basel Capital Accord is an international standard for the calculation of capital adequacy ratios. The Accord recommends minimum capital adequacy ratios that banks should meet. Applying minimum capital adequacy ratios serves to promote the stability and efficiency of the financial system by reducing the likelihood of banks becoming insolvent. When a bank becomes insolvent, this may lead to loss of confidence in the financial system, causing financial problems for other banks and perhaps threatening the smooth functioning of financial markets.
Lindgren, Garcia and Saal (1996) observed that since 1980, over 130 countries, comprising almost three fourths of the International Monetary Fund‘s member countries, have experienced significant banking sector problems, with 41 instances of crisis in 36 countries and 108 instances of significant problems. This situation posed serious concern for the policy makers and regulators. In the aftermath of the financial crisis, there have been efforts by regulatory authorities to make banks stronger. To accomplish this, governments across the developed and developing worlds are compelling banks to raise fresh capital and strengthen their balance sheets, and if banks cannot raise more capital, they are told to shrink the amount of risk assets (loans) on their books. In the case of Nigeria, the Central Bank of Nigeria, being the apex regulator of the banking industry increased the minimum capital base for commercial banks to twenty-five billion naira in 2005. This policy popularly referred to as the recapitalization or consolidation policy resulted in the reduction of Nigeria motley group of mainly anaemic eighty-nine banks to twenty-five bigger, stronger and more resilient financial institutions (Williams, 2011).
You either get what you want or your money back. T&C Apply
You can find more project topics easily, just search
-
SIMILAR ACCOUNTING FINAL YEAR PROJECT RESEARCH TOPICS
-
1. EVALUATING TAX ADMINISTRATION IN UYO AKWA IBOM STATE; PROBLEMS AND PROSPECTS (A STUDY OF AKWA IBOM STATE INTERNAL REVENUE SERVICE UYO)
» ABSTRACT The aim of this study is to assess and evaluate the problems and prospects of tax administration in Akwa Ibom State. The study employs a surv...Continue Reading »Item Type & Format: Project Material - Ms Word | 52 pages | Instant Download | Chapter 1-5 | ACCOUNTING DEPARTMENT
-
2. THE IMPACT OF PUBLIC INVESTMENT IN ENVIRONMENTAL INFRASTRUCTURE ON NIGERIA’S ECONOMIC GROWTH
» CHAPTER ONE INTRODUCTION 1.1 Background to the Study According to the World Bank Countries income groups, Nigeria has been classified as a lower middl...Continue Reading »Item Type & Format: Project Material - Ms Word | 137 pages | Instant Download | Chapter 1-5 | ACCOUNTING DEPARTMENT
-
3. EFFECT OF INTERNAL AUDIT IN AN ORGANISATION
» CHAPTER ONE 1.0INTRODUCTION 1.01BACKGROUND OF RESEARCH The method of examining the evidence of financial transactions could be traced back to the time...Continue Reading »Item Type & Format: Project Material - Ms Word | 50 pages | Instant Download | Chapter 1-5 | ACCOUNTING DEPARTMENT
-
4. WOMEN EMPOWEREMENT IN KEBBI STATE: ASSESSING THE EFFECT TO TECHNOLOGY INCUBATIONC CENTRE
» ABSTRACT Women empowerment, financing in business is very vital and of utmost importance because of the level of which our global world is moving. Thi...Continue Reading »Item Type & Format: Project Material - Ms Word | 52 pages | Instant Download | Chapter 1-5 | ACCOUNTING DEPARTMENT
-
5. INTERNAL CONTROL AS AN EFFETIVE MANAGEMENT TOOL IN THE BANKING INDUSTRY.(A CASE STUDY OF FIRST BANK OF NIGERIA PLC, ENUGU MAIN)
» ABSTRACT This project was carried out with the sole aim of studying an evaluating the internal control system in a banking industry using first Bank o...Continue Reading »Item Type & Format: Project Material - Ms Word | 52 pages | Instant Download | Chapter 1-5 | ACCOUNTING DEPARTMENT
-
6. IMPACT OF BUDGETING CONTROL ON PROFITABILITY OF AN ORGANIZATION WITH A PARTICULAR FOCUS ON SAMSUNG ELECTRONICS NIGERIA PLC.
» ABSTRACT This study examined the impact of budgetary control on profitability of an organization. Thus, the importance of budgetary cannot be emphasiz...Continue Reading »Item Type & Format: Project Material - Ms Word | 52 pages | Instant Download | Chapter 1-5 | ACCOUNTING DEPARTMENT
-
7. PROBLEMS AND PROSPECTS OF MANAGING STUDENT HOTELS IN NIGERIA (A CASE STUDY OF UNIVERISTY OF UYO, HOSTELS)
» CHAPTER ONE INTRODUCTION 1.1 BACKGROUND TO THE STUDY According to Okoh (2004), Nigeria has the biggest university system in sub Saharan Africa with 11...Continue Reading »Item Type & Format: Project Material - Ms Word | 52 pages | Instant Download | Chapter 1-5 | ACCOUNTING DEPARTMENT
-
8. STIGMA CONSCIOUSNESS, COPING STRATEGIES AND CD4 COUNTS OF PERSONS WITH HIV/AIDS
» ABSTRACT The study examined the influence of stigma consciousness (a belief or feeling that one will be negatively stereotyped by others) and coping s...Continue Reading »Item Type & Format: Project Material - Ms Word | 152 pages | Instant Download | Chapter 1-5 | ACCOUNTING DEPARTMENT
-
9. THE IMPACT OF DOMESTIC INVESTMENT ON THE ECONOMIC GROWTH OF NIGERIA 2008 TO 2013
» INTRODUCTION 1.1 BACKGROUND OF THE STUDY Since the attainment of independence in 1960 various policies of the Nigerian government have been geared tow...Continue Reading »Item Type & Format: Project Material - Ms Word | 50 pages | Instant Download | Chapter 1-5 | ACCOUNTING DEPARTMENT
-
10. SEROPREVALENCE OF RUBELLA VIRUS ANTIBODIES AMONG SCHOOL CHILDREN 0-10 YEARS IN JOS, PLATEAU STATE
» ABSTRACT Rubella disease occurs worldwide with seasonal variation and affects both the young and elderly and may present as an acute, mild or asymptom...Continue Reading »Item Type & Format: Project Material - Ms Word | 92 pages | Instant Download | Chapter 1-5 | ACCOUNTING DEPARTMENT