Title:
EFFECT OF CORPORATE SOCIAL RESPONSIBILITY ON PROFITABILITY OF SELECTED QUOTED BANKS IN NIGERIA

Authors:
Olowolaju, Philip Segun, Adelola, Folashade, Nigeria

Abstract:

This study assesses the effect of corporate social responsibility on profitability of some selected banks in Nigeria. A sample of five (5) banks out of 23 quoted money deposit banks was selected for the study that covered a period of six (6) years, from 2012 to 2017., Secondary data were used for this study. Data were collected from the published financial statements of the selected bank on the amount spent on corporate social responsibilities and profit after tax of the banks selected for the period under study. Both descriptive and inferential statistics were used to analyse the data. The findings of the study revealed that the major areas where Corporate Social Responsibilities (CSR) are being carried out by the selected commercial banks in the study area include health sector, education sector and provision of social amenities/community development... It was also concluded that CSR cost has positive effect on profitability of selected banks. The study recommends that commercial banks in Nigeria should be encouraged by relevant government agencies to extend their expenditure on CSR to other key sectors of the economy such as agriculture and that expenditure on CSR by commercial banks in Nigeria should be monitored to ensure that it is being channel to the appropriate use.