Impact Of Risk Management On Profitability Of Banks :- Johnson Ihuoma Q
ABSTRACT
The study carried out an empirical investigation
into the impact of risk management on the profitability of banks in Nigeria
over the period of 18 years (2000-2017). Bank profitability was proxied by
return on assets while risk management was measured by non-performing
performing loans ratio, loan and advances to deposit ratio and changes in
interest rate. Multiple regression analysis was used for the data analysis. The
results showed that the impact of risk management on banks profitability was significant.
Specifically, the impact of non-performing loans on return on assets was
negative and significant, while the impact of interest rate and loans and
advances to deposit ratio was positive and insignificant. Based on our
findings, it is recommended that banks in Nigeria should enhance their capacity
in credit analysis and loan administration while the regulatory authority
should pay more attention to banks’ compliance to relevant provisions of the
Bank and other Financial Institutions Act (1999) and prudential guidelines
0.0
JOHNSON, Q (2026). Impact Of Risk Management On Profitability Of Banks :- Johnson Ihuoma Q. Repository.mouau.edu.ng: Retrieved Feb 10, 2026, from https://repository.mouau.edu.ng/work/view/impact-of-risk-management-on-profitability-of-banks-johnson-ihuoma-q-7-2
QUEENETH, JOHNSON. "Impact Of Risk Management On Profitability Of Banks :- Johnson Ihuoma Q" Repository.mouau.edu.ng. Repository.mouau.edu.ng, 10 Feb. 2026, https://repository.mouau.edu.ng/work/view/impact-of-risk-management-on-profitability-of-banks-johnson-ihuoma-q-7-2. Accessed 10 Feb. 2026.
QUEENETH, JOHNSON. "Impact Of Risk Management On Profitability Of Banks :- Johnson Ihuoma Q". Repository.mouau.edu.ng, Repository.mouau.edu.ng, 10 Feb. 2026. Web. 10 Feb. 2026. < https://repository.mouau.edu.ng/work/view/impact-of-risk-management-on-profitability-of-banks-johnson-ihuoma-q-7-2 >.
QUEENETH, JOHNSON. "Impact Of Risk Management On Profitability Of Banks :- Johnson Ihuoma Q" Repository.mouau.edu.ng (2026). Accessed 10 Feb. 2026. https://repository.mouau.edu.ng/work/view/impact-of-risk-management-on-profitability-of-banks-johnson-ihuoma-q-7-2