Authors:
Muhammad Usaini

Addresses:
Department of Accounting and Finance, Federal University Gusau, Gusau, Zamfara, Nigeria. 

Abstract:

This study evaluates banking working capital management at the UBA Gusau Branch in Zamfara State, using the case study method. The research aims to provide some possible solutions to the many problems commercial banks face in managing their working capital, to determine and assess the relationship between working capital management and bank performance, to find out the relationship between working capital policy and performance, and to examine various working capital strategies that could improve bank efficiency. The sample includes 15 of 25 United Bank for Africa (UBA) employees. The primary data was collected using a two-scale questionnaire. Data were provided in row-based tables. The data was analysed using a percentage line and the research questions. The inability to meet consumers' cash withdrawal requests and the excessive credit offered to customers indicate liquidity and capital issues. The findings also showed that its present assets are insufficient to cover its current liabilities with a reasonable margin of safety. Working capital management involves managing the firm's current assets and obligations to maintain an appropriate working capital level. Management should educate bank workers about the relevance of working capital management to a firm. The bank should also recognise that when its operations or business grow, its working capital must increase to fulfil its daily needs.

Keywords: Appraisal and Working Capital; Capital Management; Bank Operations; Liquidity Problems; Financial Efficiency; Business Expansion; Current Assets; Data Analysis; Capital Strategies; Commercial Banks.

Received on: 06/07/2024, Revised on: 19/08/2024, Accepted on: 28/09/2024, Published on: 05/03/2025

DOI: 10.69888/FTSHS.2025.000393

FMDB Transactions on Sustainable Humanities and Society, 2025 Vol. 2 No. 1, Pages: 40-53

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