The study examined the role of commercial banks towards the development of money and capital market in Nigeria. A total for five management staff from seven (7) banks making about thirty (30) respondents were sampled and published data were collected from central bank of Nigeria (C.B.N) and the Stock Exchange in Lagos. The result revealed that a positive and significant relationship existed between growth in commercial banking and the activities in the money market in Nigeria.
It was also revealed that the level of liquidity of commercial banks do determine their investments in the money and capital markets.
Hence, commercial banks were advised to be thorough in their service delivery while government should create the enabling environment for successful banking operations.
1.1 Introduction
In this section, the Role of Commercial Banks in the Development of Money and Capital Market in Nigeria is discussed, with relevant and recent citations. As a prelude to other parts of this study, this chapter will discuss the background upon which this study was initiated, the statement of problems that led to this study, the aim and objectives of the study. Others are significance of the study, scope of work, research hypothesis and questions, limitation of the study and definition of terms.