Pages: (92-114 )
Abstract
Performance of Deposit Money Banks (DMBs) is of interest to stakeholders. However, studies have reported sub-optimal performance of the banks which in some cases have led to the collapse of some banks. Literature exists on the influence of liquidity on performance of banks but few on the effect of Asset Liability Management (ALM). Therefore, this study examined the effect of ALM on the performance of DMBs in Nigeria and Ghana. The study used ex-post facto research design. The population comprised 18 DMBs licensed in Nigeria and 22 DMBs licensed in Ghana as at 31st December 2021. The findings showed that ALM exerted significant effect performance of Deposit Money Banks In Nigeria and Ghana. The study concluded that Asset Liability Management enhance performance of DMBs in Nigeria and Ghana. The study recommended that the management of DMBs in both countries should continuously adopt ALM to improve performance.
Keywords: Asset liability management, Deposit money banks, Economic value added, Loan deposit ratio, Economic value added,