Non-Performing Loan and Return on Assets of Nigerian Banking Industry – A Conceptual Review

This study reviewed the effects of non-performing loans on return on assets of Nigerian banking industry. The study made use of several relevant literatures that were gathered from recently published journal articles, textbooks, and earlier scholarly investigations that are relevant to the topic. The results showed that return on assets and nonperforming loans have negative relationship. The study's conclusion is based on a thorough analysis of the phenomena and takes into account the implications of the evaluated relevant literatures. The report suggests that more empirical reviews and or researches need to be conducted and that management should only grant loans against reliable collateral.