Corporate Social Responsibility a Panacea for Banking Sustainability in Developing Economies: A Study of Nigeria Banking Sector

The study examined corporate social responsibility as a panacea for banking sustainability in developing economies as Nigeria. Multiple regression of ordinary least square analysis techniques was employed. The result from the analysis indicated that; banks environmental expenditures has positive but non-significant effect on return on asset of the banks, while banks community development has no positive and significant effect on return on asset of banks. The study therefore concluded that corporate social responsibility has not contributed much to banking sustainability in developing economies based on the Nigeria banking sector experience in recent time. The study then recommends the following; that banks and organisations in developing economies like Nigeria should pay more attention to the environment where they are operating by increasing their budget on environmental expenditures as this is one of their core corporate social responsibilities and that government should establish a vibrantagency that will be monitoring banks and organisations compliance to community development such as investment in schools and education, creating job opportunities, youth and women empowerments, provision of basic infrastructure and other social amenities and construction good roads for the community in which they operate; as this will foster peace and security in the community which will enhance business activities and financial returns leading to their organisational shareholders’ wealth maximisation goal which will then become a panacea for banking sustainability in developing economies like Nigeria.