Implications of Fraud on Commercial Banks Performance in Nigeria

Abstract

Fraud is a global phenomenon that has been in existence for long and it increases every day by day. This study is set at evaluating the impact of fraud on the performance of commercial banks in Nigeria. It also sought to ascertain the relationship between bank ATM Fraud, Forged Cheque, Clearing Cheque Fraud and bank performance. The methodology adopted in testing objective of this study was regression analysis. The outcome of the research revealed that there is significant impact of fraud on the performance of commercial banks in Nigeria. The implication of this is that if the level of fraud in commercial bank did not reduced to the baerest minimum, it may not allow commercial banks to perform well and as well contribute to the growth of Nigeria economy. We recommend that there is an urgent need for effective monitoring of bank fraud through the use of ATM to allow for the growth of Nigeria commercial banks performance. This is necessary especially this period that the world is going cashless and ATM is the main instrument for cashless banking system of payment.