Project Topic:

BANK VERIFICATION NUMBER: IMPLICATION ON THE NIGERIAN ECONOMY AND BANKING SECTOR

Project Information:

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 78 ::   Attributes: Questionnaire, Data Analysis,Abstract  ::   10,359 people found this useful

Project Department:

BANKING FINANCE UNDERGRADUATE PROJECT TOPICS, RESEARCH WORKS AND MATERIALS

Project Body:

CHAPTER ONE

INTRODUCTION

1.1   BACKGROUND TO THE STUDY

The role of BVN aimed at curtailing hazards associated with social security and credit risk cannot be underestimated (Leland & David, 1977). In recent times, biometric technologies have been used to analyze human characteristics as an enhanced form of authentication for real-time security processes. In the face of increasing incidents of compromise on our conventional security systems (password and PIN), the need for greater security on access to sensitive or personal information in the Banking system becomes inevitable (Blass & Oved, 2003).

In the same vein, the extent to which violation in the credit policies and credit monitoring system weakens the financial intermediary system continue to attract empirical and theoretical debate on how well Bank Verification system would thwart those issues of default and scam.

In addressing existing challenges with identity management, the Central Bank of Nigeria, through the banker’s committee in collaboration with all Nigerian banks in February 14, 2014 launched a centralized biometric identification system tagged “Bank Verification Number (BVN)”.

The BVN gives each Bank customer a unique identity across the Nigerian Banking industry that can be used for easy identification and verification at Point of Banking operations (Evangelista et al, 2001). Biometrics refers to identification of an individual based on physiological or behavioural attributes- fingerprint, voice, signature, facial features etc.

BVN uses biometric technology to register customers in the financial system. It records these physical features which are unique to individuals – fingerprints and the face. The record would be used to identify the person afterwards (Diamond, 1991). Once a person’s biometrics have been recorded, and BVN issued the account would be accessed through BVN. The major objectives of the initiative are to protect bank customers, reduce fraud and strengthen the Nigerian banking system.

Biometric enrolment is helpful to people who cannot read and write. Their finger prints and pictures would serve the same purpose as signatures (Claudio, 2002). Multiple account holders would be covered with a single registration in any of the banks where they have accounts. BVN will help the banking system reduce situations where loan defaulters, for instance, move from one bank to the other and the banks extend new credits to them, without knowing their history. Banks would be able to track transactions across all banks in Nigeria with more ease. As CBN implements the BVN initiative, it has to ensure the security of the data, from rogue bankers and also importantly from damage, as has been the experience with other sectors that engaged in biometric enrolments. It should also create measures to punish banks that might exploit the information they have to blackmail customers with whom they have disagreements.

Customers Bank Accounts are protected from unauthorized access with the use of BVN. Through an enhanced biometric real-time security system, the danger of unauthorized access to customer’s bank account is brought under check. The BVN is encompassing in detecting fraud of whatever type, whether through unauthorized access or through illegally authorized forms, and any other forms of fraud that’s against the rule of law and social justice (De Meza & David, 2000).

It will be of great benefit to Nigerian economy as she undertakes a means to effective transaction delivery through the BVN irrespective of diversities in opinions, critics and shortcomings that may ensue in actualization of this project. With BVN, Customers who borrow from one bank and default would not go to another bank to borrow without being tracked due to a unified credit performance system as Credit Bureau and lenders would be able to effect ‘’Know Your Customer (KYC)’’ policy by the CBN and fraudulent activities would be curtailed and banking activities would be monitored appropriately.

1.2   STATEMENT OF THE PROBLEM

BVN is a great initiative that would reduce illegal banking transactions and improve national financial intelligence gathering which will boost the economy. The interests of account holders should be accorded importance so that their increased confidence in the banking system would improve the financial standing of banks. Customers will use banks more when they know that their transactions are safe. BVN offers vast opportunities to protect customers, banks and the entire financial system. However, the researcher is examining the implication of Bank verification number BVN on the Nigerian economy and banking sector.

1.3   OBJECTIVES OF THE STUDY

The following are the objectives of this study:

  1. To examine the implication of Bank Verification Number BVN on the Nigerian economy.
  2. To examine the implication of Bank Verification Number BVN on the Nigerian banking sector.
  3. To determine the threats and weaknesses of the implementation of Bank Verification Number BVN.

1.4   RESEARCH QUESTIONS

  1. What is the implication of Bank Verification Number BVN on the Nigerian economy?
  2. What is the implication of Bank Verification Number BVN on the Nigerian banking sector?
  3. What are the threats and weaknesses of the implementation of Bank Verification Number BVN?

1.5   HYPOTHESIS

HO: There is no significant relationship between Bank Verification Number and the Nigerian economy

HA: There is significant relationship between Bank Verification Number and the Nigerian economy

1.6   SIGNIFICANCE OF THE STUDY

The following are the significance of this study:

  1. The outcome of this study will educate the general public on the benefits and implications of Bank Verification Number and it effect on the Nigerian economy and the banking sector.
  2. This research will be a contribution to the body of literature in the area of the effect of personality trait on student’s academic performance, thereby constituting the empirical literature for future research in the subject area.

1.7   SCOPE/LIMITATIONS OF THE STUDY

This study will cover the issues of Bank Verification Number and its implication on the Nigerian economy and the banking sector

LIMITATION OF STUDY

Financial constraint- Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet, questionnaire and interview).

 Time constraint- The researcher will simultaneously engage in this study with other academic work. This consequently will cut down on the time devoted for the research work

 

 

REFERENCES

Blass, Asher A. and Oved Yosha, (2003), Financing R&D in Mature Companies: An Empirical Analysis, Economics of Innovation and New Technology, 12(5), 425-447.

Claudio A. (2002), Debt and Firms’ Relationship: the Italian Evidence, Review of Industrial Organization, 20, 267—282. 16
Who cooperates for innovation and why – An empirical analysis. Research Policy, 31, 947-967.

De Meza, David, and David Webb, (2000), Does credit rationing imply insufficient lending?, Journal of Public Economics, 78, 215-234.

Diamond, Douglas, (1991), Monitoring and Reputation: The Choice between Banks Loans and Directly Placed Debt, Journal of Political Economy, 99 (4), 689-721.

Evangelista, Rinaldo, Simona Iammarino, Valeria Mastrostefano and Alberto Silvani (2001), Measuring the regional dimension of innovation. Lessons from the Italian Innovation Survey, Technovation, 21, 733-745. 15.

Leland, Hayne E., and David H. Pyle, (1977), Information Asymmetries, Financial Structure and Financial Intermediaries, Journal of Finance, 32, 371-387.

Get the complete project »


Instant Share On Social Media:


Can't find what you are looking for?
Call (+234) 07030248044.

OTHER SIMILAR BANKING FINANCE PROJECTS AND MATERIALS

A CRITICAL ANALYSIS ON THE USE OF FINANCIAL STATEMENTS IN ASSESSING THE PERFORMANCE OF AN ORGANIZATION (A CASE STUDY OF FIRST BANK NIGERIA)

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 72 ::   Attributes: Questionnaire, Data Analysis  ::   16917 engagements

ABSTRACT This project work is carried out to examine the contribution of micro finance banks to the development of Small and medium scale enterprises in Nigeria. The Brass micro finance bank is used a...Continue reading »

A STUDY ON THE ACCEPTANCE AND ADOPTION OF THE CBN CASHLES POLICY IN PORT HARCOURT, NIGERIA

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 76 ::   Attributes: Questionnaire, Data Analysis,Abstract  ::   8640 engagements

CHAPTER ONE INTRODUCTION 1.1. BACKGROUND TO THE STUDY One of the prerequisites for the development of national economy according to Ajayi et al, 2006 is by encouraging a payment system that is secu...Continue reading »

A STUDY ON THE IMPACT OF BUDGETARY CONTROLS ON THE PERFORMANCE OF AN ORGANIZATION (A CASE STUDY OF FIDELITY BANK PLC)

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 80 ::   Attributes: Questionnaire, Data Analysis,Abstract  ::   25737 engagements

CHAPTER ONE INTRODUCTION 1.1. BACKGROUND OF THE STUDY AND PROFILE OF THE ORGANIZATION Following the uncertainties prevailing in the Nigerian business environment today, managers and stakeholders mu...Continue reading »

ANALYZING PERFORMANCE APPRAISAL TECHNIQUES IN UNION BANK NIG PLC

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 67 ::   Attributes: Questionnaire, Data Analysis,Abstract  ::   22299 engagements

CHAPTER ONE INTRODUCTION 1.1. BACKGROUND OF THE STUDY In any evaluation of the condition necessary for the growth and survival of an organization, the role of performance appraisal is a strategic f...Continue reading »

AUDIT INDEPENDENCE: ENHANCING ACCOUNTABILITY AND TRANSPARENCY IN CORPORATE ORGANIZATIONS

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 71 ::   Attributes: Questionnaire, Data Analysis,Abstract  ::   13094 engagements

CHAPTER ONE INTRODUCTION 1.1. Background of the study The subject of transparency and accountability in modern day corporate organizations has continued to receive attention as never before. It has b...Continue reading »

CREDIT MANAGEMENT AND ISSUES OF BAD DEBTS IN COMMERCIAL BANKS IN NIGERIA

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 68 ::   Attributes: Questionnaire, Data Analysis,Abstract

The article on this topic (credit management and issues of bad debts in commercial banks in Nigeria) is an extract from literature review of the project material. The complete project work would be ma...Continue reading »

What are looking for today?

WHAT OUR CUSTOMERS ARE SAYING:
  • 1. Haruna Usman Lame from Abubakar Tafawa Balewa University Bauchi said "I really enjoyed using this website am so grateful ".
    Rating: Excellent
  • 2. Bagu Manjing Dakan from polytecnic barkin ladi said "the use of information and communication technology in teaching of vocational subjects in plateau state polytecnic ".
    Rating: Excellent
  • 3. Ekeh Miracle from kaduna state University said "Toopnotch delivery from this crew I highly recommend everyyone to patronise them".
    Rating: Very Good
  • 4. Joseph from feck said "Bravo".
    Rating: Excellent
  • 5. JACOB from NASARAWA STATE UNIVERSITY, KEFFI said "I had a wonderful experience using ProjectClue, they delivered not only on time, but the content had good qualty. I recommend ProjectClue for any project research work.".
    Rating: Excellent
  • 6. Ibhadam Adam H from Bayero University, Kano said "Projectclue are really good and I have enjoyed their services.".
    Rating: Very Good