ABSTRACT
This study examined “Bank lending and the effect of non-performing credits in the Nigerian economy” A case study of First bank of Nigeria Plc, Effurun, Delta state. The findings revealed some of the major causes of non-performing credits (bad debt) existing in the Nigeria banking sector today. The researcher also showed how these bad debts could be identified and how they could arise in the course of the lending business. The measures to combat non-performing credit were not left out in the research work. As regards the methodology used in this study, the simple percentage statistics was used in analyzing responses from questionnaires which was administered to bank staff of First Bank of Nigeria Plc. Finally a recommendation was given by the researcher on how to prevent bad debt to a more bearable level.
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