ABSTRACT
The research was based
on the topic “mobilizing Domestics savings for economic growth and development
in the banking industry. (A case study of Union Bank of Nig PLC 1999 – 2000. In
carrying out this research, I examined thoroughly. The various factors, which
militates severely against the effective and efficient mobilization of domestic
savings these factors were identified to range from the level of income earned
of the saver. The interest rate that the bank pays on depots of customers, to
the effect of bank distress syndrome in the banking industry. Efforts
were geared towards recommending various measures the bank can use to improve
greater mobilization of domestic resources in our bank. The various ways
through which an increase in domestic savings mobilization can also effect on
increase in economic growth and development were also identified. These include
granting of loans and overdraft of to deficit customer, assisting in the
provision of amenities to the host community generating employment and affirming
of scholarship and promotional programmes. The research was accomplished
through the use of questionnaires and secondary data. The testing and analysis
of relevant data obtained were done through the use of chi – square statistical
test techniques.
TABLE OF CONTENTS
CHAPTER ONE
INTRODUCTION
1.1 Background
of study
1.2 Statement
of
Problem
1.3 Purpose /
Objective of
Study
1.4 Research
Questions
1.5 Significance
of the Study
1.6 Scope ,
Limitations and Delimitation
1.7 Definitions
of Terms
CHAPTER TWO
Review of related literature
2.1 Domestic
Financial Resource Mobilization
Efforts of the Nigeria Financial
System
2.2 Principal
Sources of Savings
2.3 Constraints to
Effective Mobilization of
Savings for Economic Growth and
Development
2.4 Effect of
Bank Distress in Mobilization of Savings.
2.5 Effects
Of Income Earned To Savings Mobilization
2.6 Effect Of
Interest Rate In Mobilization
Of Domestic Savings
2.7 Strategies
for Improving Mobilization Or
Savings in Union Bank of Nigeria Plc
CHAPTER THREE
Research Design and
Methodology
3.1 Research
design
3.2 Area of
Study
3.3 Population
3.4 Sample and
Sampling Techniques
3.5 Instruments of
data collection
3.6 Methods of
Data Analysis
CHAPTER FOUR
Data Presentation and
analysis
4.1 Data
Presentation
CHAPTER FIVE
Findings Recommendations and
conclusion
5.1 Summary of
Findings
5.2
Conclusion
5.3
Recommendation
Bibliography
Appendix
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF
THE STUDY
It has been acknowledged that the banking play a catalytic
role in t he process of economic growth and development. This
acknowledgement is reinforced by contemporary conceptualism to the effect that
banks are a veritable vehicle for mobilizing resources from surplus units and
tempting same to deficit unit. Banks constitute perhaps the most important
segment of the financial market and played a dominate role in not
mobilizing savings, but also allocating them for investment purposes.
In Nigeria, domestic savings rate is relatively low compared to most other
developing countries with the same for capital income level. In the past,
investment rates were high and hence there was no problem for raising funds.
In this present economic dispensation, the drive for savings deposit has been
stepped up by banks and non- bank financial institutions. It is However not
sufficient because the range and type of financial assets available are equally
important. There is a wide range of saving instruments offered banks and non –
bank financial institutions in Nigeria today.
Most of the voluntary and non – contractual financial savings consist of
savings and time deposit.
Another area some banks are foreseeing to mobilize funds today is the montage
saving: because large number of Nigerians need accommodation of their own but
fund it difficult with their menage income. Interest payment a demand deposits
accounts has also some positive impact on the propensity to save. Bank have
also been allowed by the government to open domaliary account for
Nigerian exporters in which proceed of experts can be paid or saved until when
they are needed. Transaction costs related to operating a new accounts
and making deposits and withdrawals are now be coming relatively easier
particularly for small savers. There is also the pension scheme which seeks to
induce depositors to invest small sums of money over a specified period of time
in the hope of receiving a stream of benefits upon reacting the age of
retirement.
The crisis of confidence in our banks is a great set back for the banking
system. In the past the majority of those who patronized the banks did so
in order to find safer place for their money. But because of the lack of
confidence in banks today sizeable amount of Nigerians keep their
currency or cash at home.
This winders the financial intermediaries function of intermediation. Most of
our industries depend on commercial bank assistance in form of overdraft short
term and long loans for effective operation. According to Adewume W. (1996)
mobilizing domestic resources for economic development.
1.2 STATEMENT OF
PROBLEM
Income is the greatest constraint to
savings mobilization. The low level of income among the people in Nigeria
constituting a limiting factor to savings mobilization. The inadequate banking
facilities in the economy in general and the rural areas in particular also
constitute an obstacle to wide savings mobilization.
Another factor that may affect savings mobilization is the absence of affective
a realistic interest rate policy that rewards savers with adequate return on
their savings. In as mush as the rate of interested adjusted for
inflation runs negative, savings are likely to remain low
1.3 OBJECTIVES OF
ITS STUDY
The aim of the study is to examine
available ways of achieving greater mobilization of savings and its efficient
and effective channeling for economic growth the research aims at .
1. Recommending
measures for improving greater mobilization of domestic resources in our bank.
2. Identifying
the means throughout which the mobilized funds can effectively be
channeled to the growth and development of economy.
3. Identifying
the effect of interest rate mobilization of domestic
savings.
4. Identifying
the effect of bank distress in deposit acquisition.
5. Determining
the effects of income earned to
savings mobilization.
1.4 RESEARCH
QUESTION
(1) Has there
been an improvement measure towards achieving greater dogmatic resources in our
bank?
(2) Does the mobilization of domestic savings contribute in the
economic growth of the economy?
(3) Does the interest rate charges on the mobilization of
domestic savings positive?
(4) Does the bank distress syndrome have any significant effect
to the deposit acquisition?
(5) Does the propensity to save income earned have effect on the
mobilized savings of the bank?
1.5 SIGNIFICANCE OF
THE STUDY
This study intends to elicit body of
knowledge and understanding of the problem of mobilizing domestic savings by
banks. It is expected. That of the recommendations of this research are
implemented it will help to change the banking habits of people. It will also
help the managers and staff of banking industry in Nigeria to improve on their
fund mobilization strategy.
Researchers / students, lectures and the generated public will also fund the
findings and recommendations of their research of value various interest areas,
especially those who may wish to carry out further study on the topic in any
other relate filed.
1.6 DEFINITION OF
TERMS
Savings: This is that part of income that is not consumed
immediately but deferred for investment or future
consumption.
Domestic Savings: This consist savings from the citizens
of the country and not from
foreigners.
CBN:
Central Bank of Nigeria the apex financial
institution in the country.
Nigerian Banking Industry: These countries of the
banking institutions in the country which include the
commercial banks, Merchant banks, development banks etc. with the control Apex
Bank CBN.
Union Bank of Nigeria PLC: This is of the leading
banks in the country both by deposit and assets wish 283
branches.
Banker: A banker could be send to be one who works in
on institution licensed to carry on the business of banking.
Distress: A bank may be classified distress when it is
unable to meet the bank
examination rating system.
BOFID:
Banks
and other financial institutions Decree.
Rural Banking : This involves the
establishment of
banks in rural areas to cultivate banking habit among the
rural areas.
| Department | Banking and Finance |
| Project ID Code | BFN0231 |
| Chapters | 5 Chapters |
| No of Pages | 72 pages |
| Reference | YES |
| Format | Microsoft Word |
| Price | ₦4000, $15 |
|
|
|
| Contact Us On | +2347043069458 |