STRATEGIC SURVIVAL OF THE NIGERIAN BANKING SYSTEM POST COVID-19: AN EXPLORATORY ANALYSIS

Abstract

The covid-19 pandemic impact on every facet of lives and businesses cannot be overemphasised in which banking sector both in Nigeria and outside are not excluded. The study aimed at unravelling the pandemic impacts on the Nigeria banking system and recommended measures for banking reforms post covid. The study adopted content analysis of literatures on the subject matter and discovered that some of the impacts of the pandemic on banking industry in Nigeria and globally include increase in the remote working as banks adopted hybrid mode of operations which include physical and remote mode of work system. Also, covid-19 impact has birthed the use of digitalisation which is the only suitable options for banks and banks’ clients. The CBN instituted measures for banks resilience post covid among which include the reduction of interest rates, the injection of liquidity into the banking system during the pandemic, institution of some tax relief measures, suspension of import duties among many others. The study made recommendations for the survival of banking system post covid among which include the management of cost, restructuring of loan portfolios, the comprehensive customers’ credit review should be conducted to mitigate risk. Finally, regulations in Nigerian banks should be adjusted to give room for diversifications and new innovations so as to reduce covid-19 impacts on the banks’ survival.