The study of the impact of universal Banking is one of the critical for banks Nigeria to attain greater light. This borders most no the effect of the New concept in Nigeria banking system that tends to remove the functional barriers between commercial and Merchant banks, and consequently empowers the bank to undertake part from their conventional banking business, capital market operations and insurance services.

The chapter I stresses on the introduction. It equally deals with the background of study statement of problems, the objective of was based on exhuming the overall performance of the Nigeria banking system prior to the introduction of universal banking, research questions, significance and hypothesis to test.

On chapter 2, the literate review was highlighted.

Chapter three (3) deals with the research design and the primary and secondary data .

Chapter four (4) stressed on the presentation of data and analysis. While chapter 5 compresses of the condition with the above procedures, the research copies to carry out the research work successfully.

TABLE OF CONTENTS

TITLE PAGE II

APPROVAL III

DEDICATION IV

ACKNOWLEDGEMENT V

PROPOSAL VIII

TABLE OF CONTENTS IX

LIST OF TABLES

LIST OF FIGURES

CHAPTER ONE

1.0 INTRODUCTION 1

1.1 BACKGROUND OF THE STUDY

1.2 STATEMENT OF THE PROBLEM 4

1.3 PURPOSE / OBJECTIVE OF THE STUDY 5

1.4 RESEARCH QUESTIONS 6

1.5 RESEARCH HYPOTHESIS 7

1.6 SIGNIFICANCE OF THE STUDY 9

1.7 SCOPE , LIMITATIONS AND DELIMITATIONS 10

1.8 OPERATION OF TERMS 11

CHAPTER TWO

1.0 REVIEW OF RELATED LITERATURE

2.1 OVER – VIEW OF NIGERIA FINANCIAL SYSTEM 16

2.2 REVIEW OF AN TEMPORARY DEVELOPMENT TO NIGERIA BANKING SYSTEM 17

2.3 NIGERIA FINANCIAL SYSTEM PRIOR TO THE ADOPTION OF THE PRINCIPLE OF UNIVERSAL BANKING 21

2.4 HISTORY OF UNIVERSAL BANKING IN NIGERIA 27

2.5 IMPERATIVE FOR UNIVERSAL BANKING IN NIGERIA 30

2.6 MODEL OF UNIVERSAL BANKING IN SELECTED

COUNTRIES 32

CHAPTER THREE

3.0 DESIGN AND METHODOLOGY

3.1 RESEARCH DESIGN 39

3.2 AREA OF STUDY 39

3.3 POPULATION 39

3.4 SAMPLE AND SAMPLING TECHNIQUES 40

3.5 INSTRUMENTS OF DATA COLLECTION 42

3.6 METHOD OF DATA PRESENTATION 42

3.7 METHOD OF DATA ANALYSIS 42

3.8 DECISION RULE 43

CHAPTER FOUR

4.0 DATA PRESENTATION AND ANALYSIS

4.1 DATA PRESENTATION 45

4.2 TESTING HYPOTHESIS 57

4.3 DISCUSSION OF FINDINGS 57

CHAPTER FIVE

5.0 FINDINGS, RECOMMENDATION AND CONCLUSION 76

5.1 SUMMARY OF FINDINGS 76

5.2 RECOMMENDATION 78

5.3 CONCLUSION 80

5.4 SUGGESTION FOR FURTHER STUDIES 81

BIBLIOGRAPHY 83

APPENDIX 1. COVERING LETTER 86

2. QUESTIONNAIRE 86

3. CRITICAL VALUE OF CHI – SQUARE91 DISTRIBUTION TABLE

CHAPTER ONE

INTRODUCTION

1.1 BACKGROUND OF THE STUDY

The performance of the Nigeria banking sector has been a serious concern to the generality of Nigeria. Such Nigerians includes but are not restricted to politicians, the military, the academic community , industrialist , traders, and even the peasant community. As one reflects on the present state of the sector, one cannot but come to the sad conclusion that all is not well.

Actually, the method of expressing the dissentient within the banking sector may be varied but there is umainity in feedings. These feelings have one interpretation, which can be described in a polite language as bewilderment at the modes of operation of banks.

The questions that readily comes to mind is encapsulated in one sentence; what is wrong with our banking sector ? other questions fact draws from this includes.

(i) Is the problems that of management ?

(ii) Is the problem that of poor regulatory policy by the controlling authorities ?

(iii) Is the Nigeria banking environment inherently defective ?

Whatever the reasons that can be adduced for the unimpressed performance of this subsection, one thing is crystal clear, the banking sector is sick and may have lapsed into comma, therefore a serious surgical operations may be required to revitalize and sanitize it.

Furthermore, inspite of drastic changes that took place in the Nigeria Banking sector within the last decade in the area of institutional framework, legal and regulatory financial, the overall performance of this industry can be said to be grotesque, absend and in congruous with the expectation of Nigerians. (Emekewue, 2003) .

With the ever – increasing deregulation and liberalization of the financial system and the revolution in information technology, the Nigeria economy cannot but be affected by the globalization of the world economy. It will be faced with foreign competition for it is handily position for Nigeria to benefit from position result this phenomenon, such as capital flows, it mater have a health and sound financial system and institution with the capacity to play the global gave efficiently and effectively (CBN) Ballion 2003

Moreover, within the context of globalization, deregulation and liberalization, the preference will before a system that permits unfettered choice which is a vote for the universal banking, where the financial bankers between banks are removed and scope and operation of banks enhanced.