1.1BACKGROUND OF THE STUDY
In Nigeria and in other developing countries like the problem of credit extension to the rural dwellers who cannot afford the much needed collateral being demanded by most financial institution has been such a persistent migraine case, that government after government have been making persistent efforts to remedy this situation. The financial needs of these rural dweller pose a double problem in that part from the risk inherent in such credit in extension, it is not cost effective because of the large number of accounts involved with little amounts. Also the inability of those group to have access to credits compounds the vicious circle of poverty in the economic system (Ugwuenyi .W. 1997 P.235).
The fundamental concept in the establishment and operation of communities for the purpose of providing credit, deposit, banking and other financial services within the area to its members largely on the basis of their self recognition and credit worthiness. It is in contradiction to the near total reliance as the basis for giving credit. It was designed to ensure that bank community or group of communities may establish community banks for the purpose of promoting rural development improving the economic status of small-scale producers both in the rural and urban area enhancing the rapid development of production activities especially in the rural areas to support desirable and sustainable economic growth in the Nigerian Banks.
The community-banking program took off in 1990 when president on power (Line General Ibrahim Babangida) in his annual budget speech announced the community banking system would be introduced into the Nigeria financial system. The Community Bank Implementation Committee (CBIC), which established for general supervision promotion, monitoring and development of the community banks. The bank act under the control of National Board for Community Banks. The banks and the Central Bank of Nigeria.
TABLE OF CONTENTS
Cover page
Title page
Approval page
Dedication
Acknowledgement
Proposal page
Table of content
CHAPTER ONE
INTRODUCTION
1.1Background of the study
1.2Statement of the problem
1.3Objective of the study
1.4Significance of the study
1.5Scope and limitation of study
1.6Definition of terms
References
CHAPTER TWO
2.0Review of related literature
2.1Origin of community bank
2.2Nature and scope of community bank
2.3Concept of community bank
2.4Objectives of community bank
2.5Function of community bank
2.6Community bank and local economic development
2.7Problem confronting community bank
References
CHAPTER THREE
3.0RESEARCH DESIGN AND METHODOLOGY
3.1Source of data and secondary of data
3.2Location of data
3.1Method of data collection
CHAPTER FOUR
4.1Summary and finding
CHAPTER FIVE
5.0Recommendations
5.1Conclusion
Bibliography