Thesis (MSc) - Cyprus International University. Institute of Graduate Studies and Research Accounting and Finance

Efficient credit administration/management and defaulter minimisation have been challenges facing the banking industry and general financial institutions/systems. As a result, this study investigated how effective, innovative and resourceful credit risk management could speed up performance in Nigerian commercial banks. Thus, contributing to the body of knowledge on the subject. Using regression analysis on panel data from all Nigerian banks from 2010 to 2016, the study observed that banks with higher performing loans had more profit or performance because higher performing risk decreases credit risk. Similarly, having a greater percentage of non-performing loans raises credit risk and hence affects bank performance. The study's policy implications include that there is a need to increase the amount of regulatory oversight and institutional framework of Nigerian banks, so that effective credit risk management can be achieved from the regulatory capital/risk weighted asset. The study result shows an association between non-performing to total loan. The association between the methods for managing credit risk and several Nigeria banks performance indicators such as profits, the quality of assets, liquidity, and capital availability where investigated. Its further shows that when credit risk management is carefully and effectively managed has a tremendous and advantageous effect on bank performance. The study did not preclude some of the challenges faced by Nigeria banks in carrying out one of it critical assignment but should however go beyond these challenges to ensuring that they do not stand in the way of bank’s capacity to provide credit facilities which is the major responsibility carried out to ensure a vibrant national economy growth and development.