RISK ASSETS MANAGEMENT AND PROFITABILITY OF BANKS IN NIGERIA: A CAMELS MODEL APPROACH

Risk asset management is very central in measuring profitability in the banking system due to the roles the banking system plays in any economy which calls for adequate and efficient management of their credit system. The main objective of this study centered on risk asset management and profitability of Banks in Nigeria. The study utilized secondary data from the annual report of the selected bank. Descriptive statistic of mean, standard deviation, t – value and p - value was used to analyze the collected data through Statistical Package for Social Sciences. Findings revealed that all the explanatory variables have significant impact on the risk assets in the banking industry since adequate and efficient risk asset management strategies play significant role in evaluating banks profitability. The study recommends that aggressive credit policy should be put in place to ensure that all loans are recovered within the time frame and the current risk management policy should be maintained or better still improved upon.