INTEREST RATE CAPPING AND FINANCIAL PERFORMANCE OF SELECTED LISTED BANKS IN NIGERIA

Student: Favour Chiamaka Ubani
Supervisor: Dr Obinwanne Aroumah
HOD: Dr Onwuka Onwuka
Department of Accounting
Economics and Management Sciences
Abia State University, Uturu, Abia State

Abstract

Interest rate capping is a form of government control in the financial sector. Over the recent years, there has been a decline on the number of countries using this form of control mainly because most countries are aiming at having liberal financial policies. This study seeks to establish the influence of interest rate capping on the performance of commercial banks in Nigeria. It will be based on the following specific objectives; to establish the effect of Central Bank Rate, Banking lending rate and deposit rates on financial performance of commercial banks in Nigeria. The study will be based on three theories which include; interest rate parity, Irving fisher theory of interest and expectations theory of interest rate. A descriptive research design will be employed to analyze the findings.

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