ANALYSIS OF THE IMPACT OF TREASURY SINGLE ACCOUNT ON THE PERFORMANCE OF THE BANKING SECTOR IN NIGERIA

Raymond Nwandu

Abstract


This study Analyzes the Impact of Treasury Single Account on the  Performance of   the banking sector in Nigeria.  The study made use of primary data  and data realized were collected using frequencies and percentages. The scope covers five new generation banks in Owerri Urban Of Imo state. Such banks include, United Bank for Africa Plc,   Zenith Bank Plc, Access Bank Plc, Fidelity Bank Plc, and Sky Bank Plc. Forty staff were selected randomly from each bank in the study. The random sampling technique was used to select from the population of two hundred (200) bank officials randomly selected. From the results, we conclude that the treasury single account (TSA) policy was introduced to block financial leakages, reduce corruption, promote transparency promote economic growth, It was also revealed from the analysis, that supervision exercised on MDAs' revenue generation and collection is not good enough and also observed that treasury single account has implication on the banking sector and Nigeria’s economic growth. Full implementation of the TSA will not be hurting banks. It will only hurt establishments that purport and pretend to be banks but have failed, refused and neglected to understand banking and do what bankers do elsewhere. It is an opportunity for banks to refocus on the original purposes for which they were set up to collect depositors‟ funds, keep them safe; engage in intermediation to create wealth and jobs for the economy and in the process earn profit for themselves based on the above findings, we recommend thus On the bases of the finding, we  suggest  that Central Bank should maintain a flexible monetary policy rate (MPR) at a minimum level in order to assist banks in taking alternative measures of meeting the emergency of cash withdrawal and lending demands of the customers.


Keywords


Treasury Single Account, Banking Sector, Economic Growth and money policy rate

Full Text:

PDF

References


Adeolu I. A. (2015). Understanding The Treasury Single Account (TSA)System – Things You Should Know. Business & Economy,Market Development.

Akande, L. (2015). Buhari orders Federal Ministries, Agencies to open

Treasury Single Account. Press Release, August 9.CBN (2015). Revised Guidelines for compliance with Treasury Single

Account by Banks in Nigeria.

Diamond, J. &Khemani, P. (2006). Introducing Financial ManagementInformation System in Developing Countries. OECD Journal onBudgeting, Vol. 5(3).

Larson, M. C. (2007). Local Government Cash Management. Chapter 2, inLocal Public Financial Management, ed. by Anwar Shah: The WorldBank.

Lienert, I. (2009). Modernizing Cash Management, Technical Notes andManuals, Fiscal Affairs Department (Washington: InternationalMonetary Fund).

Obinna, C. (2010). The Science of muddling through Revisited. Emerdence:

Complexity &Organisation, 12(1), 5-18.

Parry, M. (2010). An Introduction to Public Financial Management. London:

ACCA.

Pattanayak, S. &Fainboim, I. (2010). Treasury Single Account: Concept,Design and Implementation Issues. Working Paper No. 143, May.Marco Cangiano and Michel Lazare.

Uwonda, G., Okello, N. &Okello, N. G. (2013). Cash flow managementutilization by Small Medium Enterprises (SMEs) in Northern Uganda.Merit Research Journal of Accounting, Auditing, Economics andFinance Vol. 1(5) pp. 067-080, October.

Ademola, O. August 16, 2015: Analyst Hail Implementation of Single Treasury Account. ThisDay Newspapers. Retrieved from http://www.thisdaylive.com/articles/analyst-hail- implementation-of-single-treasury- account/217572/.

Alenoghena, R. August 16, 2015: Treasury Single Account: Giving Life to Jonathan’s Dead Policy Directives. Guardian Newspapers. Retrieved from http://www.ngrguardiannews.com/2015/08/ treasury-single- account-giving-life-to-jonathan’s dead-policy-directives/

Al-Wadani, H.A and Al-Alkawi, T.C. (2008). Treasury Single Account in State of Kuwait and its effect on the Accounting System about the Public Money and supervision

Anumihe, I. September 9, 2015: How Treasury Single Account (TSA) May Effect Economy. The Sun Newspapers. Retrived from Retrieved from http://www.sunnewsonline.com/ how-treasury-single- account-may-effect-economy/18 147.

Chukwu, J. August 16, 2015: Treasury ingle Account: Giving Life to Jonathan’s Dead olicy Directives. Guardian Newspapers. Retrieved from Retrieved from http://www.ngrguardiannews.com/2015/08/ treasury-single-account-giving-life-to-jonathan’s dead-policy-directives/

Dener, Cem, 2014. Rapid Assessment of Treasury Single Account Operations and Payment Systems. Washington, DC. World Bank. License: Creative Commons Attribution CC BY 3.0

Encyclopaedia of the Social Sciences. (2013, December 17). In Wikipedia, The Free Encyclopedia. Retrieved 09:12, September 23, 2015, from https://en.wikipedia.org/w/index.php?title=Encyclopaedia_of_the_Social_Sciences&oldi d=5864 22383

Enweagbara, O. August 16, 2015: Implementing the Treasury Single Account. Punch Newspapers. Retrieved from http://www.punchng.com/opinion/implementing-the- treasury-single-account/

Khan, R. August 16, 2015: Analyst Hail Implementation of Single Treasury Account. This Day Newspapers. Retrieved from http://www.thisday.com/opinion/-treasury-single-account/

Kifasi, D. August 16, 2015: Implementing the Treasury Single Account. Retrieved from Premium Times http://www.premiumtimesng.com/news/headlines/189613-buhari-talks- tough orders- nigerian-agencies-to-switch-to-treasury-single-account-or-face sanction.htmlopinion/

Igbuzor, O. (2012). Overcoming the challenges of transformation in Nigeria, Joe and Tolalu Associates, Lagos.

Nageri, K.I., Gunu, U., and Abdul, F. (2013): Corruption and Economic Development Evidence from Nigeria. Kuwait Chapter of Arabian J ournal of Business and Management Review. Vol.3 (2);

Odekunle, F. (2008). Effects of Corruption on National Development. Being a paper delivered at the Sensitization Programme Against Corruption Organized by the Office of the SGF, Conference Hall, Federal Secretariat, Abuja on 22nd January, 2008.

Odekunle, F. (2012). Repositioning the ICPC for Effective Performance: Statutory Framework, Staffing, Modus Operandia and Acknowledgement of Limitation. Retreat on Re-positioning the ICPC as a Foremost Agency in the Anti-Corruption Crusade at Ibom Le Meridien Golf Resort Uyo, 2-5, May 2012.

Odekunle, F. (2015). Tackling Corruption in Nigeria: Strategic and Operational Options for the Buhari Administration. Being a paper delivered at the 5th Convocation Lecture of Al-Hikmah University, Ilorin on Saturday, 12th September, 2015.

Ogbeidi, M.M. (2012). Political Leadership and Corruption in Nigeria since 1960: A Socio-Economic Analysis. Journal of Nigerian Studies, 1(2);1-25 148


Refbacks

  • There are currently no refbacks.


 

 


Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.