Chapter One — 1.1 Background to the Study

Over the past decade, the relationship between green banking practices and economic growth has become a subject of considerable debate among scholars and industry practitioners alike, particularly within the context of Nigeria and Selected ECOWAS Member States where operating conditions differ markedly from more developed markets.

Nigeria and Selected ECOWAS Member States presents a useful setting for examining this relationship precisely because the conditions there — structural, regulatory, and behavioural — differ from those typically assumed in the broader literature, most of which draws on evidence from more developed economies.

1.2 Statement of the Problem

While green banking practices is widely discussed in policy and industry circles, empirical evidence on its actual effect on economic growth within Nigeria and Selected ECOWAS Member States remains sparse and, in places, contradictory. This lack of localized, rigorous evidence makes it difficult for decision-makers to know with confidence whether current approaches to green banking practices are helping or hindering economic growth — a gap this study sets out to close.

1.3 Objectives of the Study

1. To examine the effect of Green Banking Practices on economic growth in Nigeria and Selected ECOWAS Member States.
2. To assess the extent to which green banking practices influences economic growth within the study area.
3. To identify the challenges associated with green banking practices in relation to economic growth.
4. To recommend strategies for optimizing green banking practices in order to improve economic growth.

1.4 Research Questions

1. What is the effect of green banking practices on economic growth in Nigeria and Selected ECOWAS Member States?
2. To what extent does green banking practices influence economic growth within the study area?
3. What challenges are associated with green banking practices in relation to economic growth?
4. What strategies can be adopted to optimize green banking practices in order to improve economic growth?

1.5 Significance of the Study

Beyond its academic contribution to the field of finance / banking, this study has practical value for management teams within Nigeria and Selected ECOWAS Member States seeking to understand how green banking practices translates into measurable outcomes around economic growth. It is equally useful to students and future researchers looking for a localized empirical reference on this relationship.

1.6 Scope of the Study

The study is limited to an examination of Green Banking Practices and its relationship with economic growth within the context of Nigeria and Selected ECOWAS Member States. It reflects a clearly defined scope of analysis and relies on data and perspectives available within that scope; generalizing the findings beyond this specific context should therefore be done with appropriate caution.