This course focuses on lending as one of the primary activities of banking operations. The main objective of this course is to equip students with as well as expose them to modern techniques of bank lending and loan administration, in order to ensure the long-term viability and stability of banking institutions, growth and development of the Nigerian economy.

Topics to be covered include the following:
1.      Environment, nature and objectives of bank lending and credit administration

2.      Lending policies and administration
a.      Lending policies
b.     Canons of bank lending
c.      Constraints to bank lending

3.      Lending appraisals and decision
a.      Evaluation of lending methods
b.     Lending to individual
c.      Lending to business firms and government

i.   Analysis and interpretation of financial statements
ii.   Analysis of collateral securities

4.      Types of loans
a.      Business loans 
b.     Consumer loans 
c.      Real estate loans
d.     Agricultural loans
e.      Loan syndication

5.      Loan portfolio policies
a.      Evaluation of loans opportunities
b.     Demand and resource analysis
c.      Risk-return analysis

6.      Loan supervision
a.      Techniques of loan supervision
b.     Loan default and assessment of bad debts
c.      Systematic loan review

7.      Prudential guidelines
a.      Loan portfolio classification
b.     Provisions for bad and doubtful debt
c.      Penalties for no compliance with prudential  guidelines

8.      Maturity structures of loan portfolios
a.      Size of total loan portfolio
b.     Portfolio composition
c.      Loan terms

9.      Agricultural Credit Guarantee Scheme and Agricultural Insurance Scheme.

INSTRUCTION METHOD
Lectures will be backed up with class discussions and relevant cases. Students are advised to attend lectures and participate effectively.

DISTRIBUTION OF MARKS
1.      Continuous assessment            30%
2.      Examination                               70%

TEXTBOOKS
1.      Bank lending and loan administration: The Nigerian perspective by Christopher O. Udoka

2.    Bank Management Principles and Practices. G. O. Nwankwo, Lagos: Maltose House Press Ltd