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The Effect of Capital Adequacy Regulations on the Financial Performance of Deposit Money Banks in Nigeria.

The ongoing distress in the Nigerian banking sector raises the question of whether the current regulatory framework is effective in both ensuring financial system stability and enabling banks to earn profits for their shareholders. Among the requirements, the capital adequacy regulations are of particular concern: do they strengthen the stability of the financial sector or constrain banks' ability to deliver returns to shareholders? This study examines the effect of capital adequacy regulations on the performance of deposit money banks in Nigeria. The survey period is from Q1 2015 to Q1 2025. …

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