CHAPTER ONE

1.      1INTRODUCTION

1.1   BACKGROUND OF THE STUDY

Inspite of our numerous national problems, which sometimes tend to darken our national and individual self -esteem, It is universally acknowledged that Nigeria Scholars, Accountants Securities and there Professional have performed most creditably in their respective discipline in the competitive international area to assess the impact of Risk management in Nigeria banking industry.

        The need of a study in the area of esteem form the fact that through risk management is very important management function will much has done to eliminate or minimize the adverse effects of possible financial loss by

(1)   Identifying all the potential sources of loss

2.      Measuring the Financial consequences of a loss occurring and using control to minimize actual losses or their Financial consequences.

On writing this research work successfully one cannot fail to say what bank is all about because the seesense of this research centres mostly on the nature (impact) of risk management in Nigerian banking industry.

There are many definitions of bank as there are defines.  It is been a here clean attempt overtime to define what s a bank, several school of thoughts, professionals and bodies have made bold attempt to address this issue.  Oxford advanced learner dictionary, Simply defined bank as establishment for keeping money and valuables, safety the money being paid out on customers order.  However, bank could be generally described as a company carrying the business of receiving money and collection of drafts or cheques for customers subjects to obligation of honouring cheque drawn upon then from time to time by the customers to the extent of the amount available on their account or agreed facility.