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ECO724

Nigerian Financial System

This course introduces students to the Nigerian financial system, covering both bank and non-bank financial institutions. It explores the functions of financial institutions, the composition and roles of financial markets, and the nature of financial assets. Key topics include the Central Bank of Nigeria, commercial banks, microfinance banks, insurance companies, and international financial institutions like the World Bank and IMF. The course aims to equip students with the knowledge to understand and analyze the Nigerian financial system.

About this course

Difficulty
Intermediate
Study hours
208 hours
Maths
Basic
Content
Theoretical, case study
Practical work
No
How it is assessed
  • Assignments
  • Tutor marked assessments
  • Final examination

One paragraph, so you can see how it reads

ECO724 · UNIT ONE - MEANING AND OVERVIEW OF THE FINANCIAL SYSTEM

This unit gives details as well as put in plain words the meaning of financial system. In addition, the unit gives an explanation on the overview, organization, functions and essential features of the financial system.

What you should be able to do

  1. Explain the structure and functions of the Nigerian financial system.
  2. Analyze the roles of various financial institutions in the economy.
  3. Evaluate the impact of monetary policy on financial markets.
  4. Discuss the challenges and opportunities in the microfinance sector.
  5. Compare and contrast different international financial institutions.
  6. Apply financial concepts to real-world scenarios in Nigeria.

What it prepares you for

Careers
  • Financial Analyst
  • Bank Manager
  • Investment Advisor
  • Policy Analyst
  • Economist
Where it is applied
  • Banking
  • Insurance
  • Investment Management
  • Government
  • Consulting

Where it gets hard

The units students slow down on, and what makes each one heavy.

  • Module 2: Domestic Financial Institutions

    Unit 11: Islamic Banking

    Understanding the principles and operations requires a grasp of both conventional and Sharia-compliant finance, which can be challenging for students unfamiliar with Islamic law.

  • Module 3: International Financial Institutions

    Unit 15: The International Monetary Fund

    Requires understanding of complex international economic policies and the roles of various global institutions.

A suggested way through it

Suggested

13 weeks, about 32 hours in total. Yours will differ.

  1. Week 1Module 1: An Overview of the Financial System, Institutions, Markets and Services
    • Unit 1: Meaning and Overview of the Financial System · 2 hours

      Define the financial system.. Explain the overview of the financial system.. Discuss the structure and roles of the Nigerian financial system.. Explain the essential features of an ideal financial system..

  2. Week 2Module 1: An Overview of the Financial System, Institutions, Markets and Services
    • Unit 2: Nature and Functions of Financial Institutions · 2 hours

      Define what a financial institution is.. Explain the types of financial institutions.. Discuss the advantages as well as the disadvantages of financial institutions.. Give details on the roles of financial institutions.. Analyse the problems faced by financial institutions in Nigeria..

  3. Week 3Module 1: An Overview of the Financial System, Institutions, Markets and Services
    • Unit 3: The Composition and Roles of the Financial Markets · 2 hours

      Define and explain both the money and capital market.. Explain features of a developed money market and sections in a capital market.. Discuss the aims for the establishment of the Nigerian money and capital market.. List and explain roles of the money and capital market.. Discuss common money market instruments and participants in the capital market..

  4. Week 4Module 1: An Overview of the Financial System, Institutions, Markets and Services
    • Unit 4: Nature of Financial Assets/Instruments · 2 hours

      Define financial assets.. Explain the types of assets.. Discuss the features of financial assets.. List and explain they types of financial assets.. Discuss the denomination as well as liquidity of financial assets..

  5. Week 5Module 1: An Overview of the Financial System, Institutions, Markets and Services
    • Unit 5: Meaning and Types of Financial Services · 2 hours

      Define financial services.. Explain the types of services..

  6. Week 6Module 2: Domestic Financial Institutions
    • Unit 6: History and Functions of the Central Bank of Nigeria · 2 hours

      Discuss the origin of Central Bank of Nigeria.. Explain the traditional and development functions of Central Bank of Nigeria.. Evaluate the core mandate of the Central Bank of Nigeria..

  7. Week 7Module 2: Domestic Financial Institutions
    • Unit 7: Structure and Roles of Commercial Banks · 2 hours

      Define commercial banks.. Explain the structure and roles of commercial banks.. Outline the roles of commercial bank in economic development of Nigeria..

  8. Week 8Module 2: Domestic Financial Institutions
    • Unit 8: Evolution and Roles of Merchant and Rural Banks · 2 hours

      Define merchant banking.. Explain the origin as well as evolution of merchant banking.. Outline and discuss the roles of merchant banking.. Define rural banking.. Discuss the objectives of rural banking scheme.. Explain the advantages and problems of rural banking..

  9. Week 9Module 2: Domestic Financial Institutions
    • Unit 9: Organization, Performance and Roles of Development Banks · 2 hours

      Explain the meaning of development banks.. Trace the origin of development banks in Nigeria.. Analyse the functions of development bank.. Discuss the features of development banks.. List the objectives of development banks..

  10. Week 10Module 2: Domestic Financial Institutions
    • Unit 10: An Overview of Microfinance Banks and Co-operative Banking in Nigeria · 2 hours

      Discuss an overview of microfinance banks in Nigeria.. Explain the rationale for the formulation of the national microfinance policy.. Elucidate the aims of the microfinance policy.. List the stakeholders in the microfinance subsector in Nigeria..

  11. Week 11Module 2: Domestic Financial Institutions
    • Unit 11: Islamic Banking · 2 hours

      Discuss the origin of Islamic banks in Nigeria.. Explain the specific forms of Islamic Banking activities.. Discuss the Islamic Financial System in Perspective.. Explain the challenges confronting Islamic banking system in Nigeria.. Analyse the prospects of Islamic banking in Nigeria..

  12. Week 12Module 2: Domestic Financial Institutions
    • Unit 12: Insurance Companies · 2 hours

      Explain the meaning and roles of insurance companies.. Discuss the evolution of insurance companies in Nigeria.. List the features and types of insurance companies.. Explain the benefits of insurance companies.. Discuss the operations and regulations in Nigeria..

  13. Week 13Module 3: International Financial Institutions
    • Unit 13: International Financial Institutions · 2 hours

      Define the meaning of international financial institutions.. Give a description of multilateral development bank.. Give examples of the Bretton Woods institutions.. Explain regional development banks and other regional financial institutions.. Explain bilateral development banks and agencies..

    • Unit 14: The World Bank · 2 hours

      Discuss the meaning and history of the World Bank.. Discuss the purpose and objectives of the World Bank.. List the functions of the World Bank.. Explain the organizational structure of the World Bank.. Discuss the roles of the agencies of the World Bank..

    • Unit 15: The International Monetary Fund · 2 hours

      Discuss the meaning and origin of the IMF.. Discuss the objectives and functions of the IMF.. Explain the organizational and management structure of the IMF.. Explain the financial structure and borrowing methods of the IMF.. Discuss the achievements as well as failures of the IMF..

    • Unit 16: The African Development Bank · 2 hours

      Discuss the meaning and history of the ADB.. Discuss the objectives and goals of the ADB.. Explain the function and group entities of the ADB.. Explain the core operational focus of the ADB since 2006..

Preparing for the exam

What to do
  • Review the definitions and functions of key financial institutions (CBN, commercial banks, microfinance banks).
  • Create diagrams illustrating the relationships between different components of the Nigerian financial system.
  • Focus on understanding the objectives and tools of monetary policy.
  • Practice analyzing case studies of financial crises and policy responses.
  • Prepare summaries of the roles and responsibilities of international financial institutions (World Bank, IMF, AfDB).
  • Study past examination papers and tutor-marked assignments (TMAs) to understand question formats and key topics.
  • Allocate specific study time for each module, prioritizing areas of weakness.
  • Form study groups to discuss complex concepts and share notes.
  • Create flashcards for key terms and definitions to aid memorization.
  • Practice applying financial concepts to real-world scenarios and current events in Nigeria.

Questions students ask about this course

What is ECO724 about?

This course introduces students to the Nigerian financial system, covering both bank and non-bank financial institutions. It explores the functions of financial institutions, the composition and roles of financial markets, and the nature of financial assets. Key topics include the Central Bank of Nigeria, commercial banks, microfinance banks, insurance companies, and international financial institutions like the World Bank and IMF. The course aims to equip students with the knowledge to understand and analyze the Nigerian financial system.

How many units does ECO724 have?

ECO724, Nigerian Financial System, has 12 units across 2 modules, over 187 pages of course material. You can read it one unit at a time.

How many credit units is ECO724?

ECO724 carries 2 credit units, at 700 level in Social Sciences.

Is ECO724 hard?

ECO724 is rated intermediate level, with basic mathematical content. It is mostly theoretical and case study work.

How long does ECO724 take to study?

About 208 hours of study, spread across its 12 units.

How is ECO724 assessed?

ECO724 is assessed by assignments, tutor marked assessments and final examination.

What can I do with ECO724?

Financial Analyst, Bank Manager, Investment Advisor, Policy Analyst and Economist.

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