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The purpose of this research work was to examine the challenges faced by recapitalisation of banks in Nigeria. Hypotheses were formulated in view of the challenges identified and to meet the objective of the study.

Questionnaires were designed and administered on sixty randomly selected executive of five banks (Union Bank, First Bank, Intercontinental Bank, Guardian Express Bank and Standard Trust) all located in Anambra State of Nigeria. Out of sixty questionnaires distributed, fifty–five were found useful to study.

A thorough analysis using percentages and chi-square test revealed that bank consolidation will help to broaden the ownership base of Nigeria banks and as such tend to separate ownership from management as far as possible. This in turn will enhance management effectiveness. In addition, it was found that consolidation will enhance control and supervision of the banking industry by the CBN because the number of banks operating within the system will be reduced significantly. This will enhance the supervisory and regulatory role of the CBN in the industry and this will improve the quality of services offered to customers.

In particular, recapitalisation of banks will facilitate the economic growth of the nation because more credit will be channeled to the real sectors of the economy.

From the result of the study, we conclude that the newly consolidated banks need to employ highly qualified and competent professional in order to meet the expectation of shareholders in terms of returns on their equity and in order to compete favourably in a globalised world economy.

Bank: GTBank
Account Name: Prince Orafu
Account Number: 0109980866

Bank: Diamond Bank
Account Name: Prince Orafu
Account Number: 0065070861

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