Banking Regulations and Business Growth: Strengthening Oversight to Curb Fraud

• Author(s): Racheal Bukola Akinloye
• Paper ID: 1709347
• Page: 414-427
• Published Date: 30-11-2023
• Published In: Iconic Research And Engineering Journals
• Publisher: IRE Journals
• e-ISSN: 2456-8880
• Volume/Issue: Volume 7 Issue 5 November-2023

Abstract

The study examined banking regulations and business growth: a comparative analysis of the United Kingdom, United States of America, and Nigeria. This study adopted a comparative research design to examine the relationship between banking regulations and business growth across three countries: the United Kingdom, the United States of America, and Nigeria. Data for the study were sourced from a combination of reputable international and national institutions to ensure accuracy and reliability. To interpret the data, the study employed qualitative content analysis as the principal analytical tool. The qualitative content analysis allowed for in-depth exploration of regulatory narratives, institutional behaviors, and country-specific challenges that may not be captured through purely quantitative methods. The study found that: the banking regulations of the US, the UK and Nigeria align broadly with global banking standards, but the UK and US have more sophisticated, multilayered regulatory systems compared to Nigeria’s centralized and less adaptive framework; regulatory flexibility in the UK and US allows financial institutions to innovate and adjust to market realities, which supports sustainable business lending and economic growth; regulatory rigidity in Nigeria, coupled with unpredictable policy shifts, creates barriers to effective financial intermediation and limits access to credit for businesses. In conclusion, the presence of robust oversight mechanisms does not inherently inhibit growth but can, when properly balanced, serve as an enabler of innovation and long-term investment. The study recommends that the Central Bank of Nigeria should develop a more sophisticated and multilayered regulatory framework by decentralizing oversight functions and integrating independent supervisory agencies. This would align Nigeria’s banking regulation more closely with international best practices, improving regulatory depth, reducing concentration of authority, and enhancing the credibility of enforcement processes.

Keywords

Banking Regulations, Business Growth, Central Bank of Nigeria, Financial Conduct Authority, Dodd-Frank Act

Citations

IRE Journals:
Racheal Bukola Akinloye "Banking Regulations and Business Growth: Strengthening Oversight to Curb Fraud" Iconic Research And Engineering Journals Volume 7 Issue 5 2023 Page 414-427

IEEE:
Racheal Bukola Akinloye "Banking Regulations and Business Growth: Strengthening Oversight to Curb Fraud" Iconic Research And Engineering Journals, 7(5)