POLICY AND REGULATORY COMPLIANCES IN FINANCIAL INSTITUTIONS IN NIGERIA

Abstract

This study investigated the dynamics of policy and regulatory compliance within Nigerian financial institutions, focusing on commercial banks, microfinance institutions, and insurance companies. Utilizing a mixed-methods research design and drawing data from 150 respondents, the study explored the current levels of compliance, the impact of adherence on institutional performance, and the influence of internal governance and organizational culture on compliance practices. Descriptive statistical analysis revealed that Nigerian financial institutions demonstrate a relatively high level of compliance, particularly among commercial banks and insurance firms. Furthermore, adherence to regulatory frameworks was shown to enhance financial stability, operational efficiency, and stakeholder trust. The study also highlighted that strong governance structures, senior management commitment, and a culture of accountability significantly shape compliance behavior. These findings underscore the need for strategic alignment between internal organizational dynamics and external regulatory demands to ensure sustainable financial sector development.