In the light of globalisation where foreign investment has become trendy, comparability of financial reports of Nigerian firms and those of other firms across the world has become a concern. Nigerian firms has been mandated to adopt the International Financial Reporting Standard (IFRS) is their financial reporting.  This study has examined the effect of the IFRS adoption on the reported performance of Nigerian banks listed on the Nigerian Stock Exchange. Eight (8) out of the fourteen (14) quoted banks were selected for the study. Four indices of performance employed in the study are profitability using the Return on Equity, Liquidity using total deposit to total loan, loan grants and then market value measured by Price earnings ratio for the period (2011 and 2012). 2011 represented GAAP era while 2012 stands for IFRS adoption. A comparability index for the banks were computed using the Excel Spreadsheet for each of the banks on each variable. Then the One Sample Test was employed for the analyses. The mean was used to answer the research question while the t-statistics tested the hypotheses. The results showed that mean values for profitability, liquidity and market value are greater in the GAAP era (2011) than in the IFRS period (2012), while loan grant has higher for IFRS period (2012). The t-tested indicated none of the variables had significant effect.  Thus the study concluded that IFRS adopted does not have significant effect on bank performance reported in 2011 and 2012. The use of IFRS for all firms as well as incorporation of IFRS guideline in professional training are recommended by this study.


International Financial Reporting Standards, (IFRS), Generally Accepted Accounting Practice (GAAP), corporate performance, Nigeria

Full Text:



Abata, M. A. (2015a). The impact of international financial reporting standards (IFRS) adoption on financial reporting practice in the Nigerian banking sector. Journal of Policy and Development Studies, (9)2, 169-184.

Abata, M. A. (2015b). Impact of IFRS on financial reporting practices in Nigeria (A case of KPMG). Global Journal of Contemporary Research in Accounting, Auditing and Business Ethics (GJCRA), 1(1), 263-281.

Abdul-Baki Z., Uthman, A. B., & Sanni, M. (2014). Financial ratio as performance of IFRS and Nigerian GAAP. Accounting and Management Information System, 13(1), 82-97.

Access Bank Plc, (2010). The Implication of IFRS adoption. A Communiqué of Business Day, 9 (186), 34-37.

Adebimpe, O.U. & Ekwere, R.E. (2015). IFRS adoption and value relevance of financial statements of Nigerian listed banks. International Journal of Finance and Accounting, 4(1), 1-7.

Akhidime A. E. (2010). The adoption and implementation of international financial accounting reporting standards (IFRS): Evaluation of the roles of key stakeholders in Nigeria. AAU JMS, 1(1), 55-60.

Akinleye, G.T. (2016) Effect of international financial reporting standards (IFRS) adoption on the performance of money deposit banks in Nigeria. European Journal of Business, Economics and Accountancy, 4(4), 87-95.

Akiwi (2010). Adoption of international financial reporting standards in developing countries - The case of Ghana. Business Economics and Tourism. VAASA Ammatikorkeakoulu University of Applied Sciences Bachelor of Business Administration.

Armstrong, C., Barth, M. Jagolinzer, & A. Riedl, E., (2007). Market reaction to the adoption of IFRS in Europe. Working paper, Stanford University.

Asian A. U. & Dike, A. (2015). IFRS adoption and accounting quality of quoted manufacturing firms in Nigeria: a cross sectional study of brewery and cement manufacturing firms. International Journal of Business and Management Review, 3(6), 61-77.

Barth, M. (2008).Global Financial Reporting, Implications for US Academics. The Accounting Review. 83(5), 1159-1179.

Barth, M., Landsman, W. & Lang, M. (2007).International Accounting Standards and Accounting Quality. Journal of Accounting Research, 46,467-728.

Bartov, E. Goldberg, S. & Kim M. (2005).Comparative Value Relevance among German, US and International Accounting Standards. A German stock Market perspective. Journal of Accounting, Auditing and Finance, 20, 95-119.

Chen, H., Tang, Q., Jiang, Y. & Lin, Z. (2010).The Role of International Financial Reporting Standards in Accounting Quality: Evidence from the European Union. Journal of International Financial Management and Accounting 21(3), 220-278.

Eneje, B., Obidike, C & Chukwujekwu, P. (2016). The Effect of IFRS Adoption on the Mechanics of Loan Loss Provisioning For Nigerian Banks. IOSR Journal of Business and Management, 18(6), 45-52.

Ezeani N. S. & Oladele R. (2012). Adoption of international financial reporting standards (IFRS) to enhance financial reporting in Nigeria universities. Arabian Journal of Business and Management Review (OMAN Chapter) 2(3), 113-226.

Frank, W. & Alan, S. (2008). Business accounting 2. (11th ed). England: Pearson Education Limited.

Ironkwe, U. I. & Oglekwu, M. (2016). International Financial Reporting Standards (IFRSs) and Corporate Performance of Listed Companies in Nigeria. IIARD International Journal of Banking and Finance Research, (2)3, 1-13.

Isenmila, P. A. & Adeyemo, K. A. (2013). A Perception Based Analysis of the Mandatory Adoption of International Financial Reporting Standards (IFRS) in Nigeria. Journal of Emerging Trends in Economics and Management Sciences (JETEMS) 4(2), 203-210.

Ismaila, M. Z. (2010). IFRS as a tool for cross Border Financial Reporting. International Financial Reporting Standards. Nigeria: Hazi publishers.

Jonathan A. Okunbor1 & Amos O. Arowoshegbe (2014) stakeholders’ perception of the adoption of IFRS in Nigeria. Accounting and Finance Research, 3(1), 67-72.

Kaaya, I.D. (2015). The Impact of International Financial Reporting Standards (IFRS) on Earnings Management: A Review of Empirical Evidence. Journal of Finance and Accounting, (3)3, 57-65.

Kenneth E. O. (2012). Adoption of IFRS and Financial Statements Effects: The Perceived Implications on FDI and Nigeria Economy; Australian Journal of Business and Management Research, 2(5), 76-83.

Muhammad, T. (2012). The effect of International Financial Reporting Standards (IFRS) adoption on the performance of firms in Nigeria. Journal of Administrative and Economic Sciences Qassim University, 5(2), 133-157.

Muhibudeen, L. (2015). International Financial Reporting Standard and Value Relevance of Accounting Information in Quoted Cement Firms in Nigeria. International Journal of Sciences: Basic and Applied Research (IJSBAR), 22(1), 81-95.

Mutai, B.K. (2014). The effect of adoption of international financial reporting standards on quality of financial reporting by companies listed at Nairobi Securities Exchange. A research proposal submitted in partial fulfilment of the requirement for the a ward of Master of Business Administration, School of Business, University of Nairobi. 1-45.

Nengzih (2015). The Adoption of IFRS – Impact on Profitability Rate and Tax Income: Evidence from Companies Indonesia Listed in Indonesian Stock Exchange. Research Journal of Finance and Accounting, 6(11), 174-181.

Nobes, C.(2006). The survival of international differences under IFRS: Towards a research agenda. Accounting and Business Research. (36), 233-245.

Ofurum, C.O., Egbe, S. and Micah, L.C.(2014). Corporate financial accounting & reporting. Port Harcourt, Nigeria: Davidstones Global Resource Ltd.

Okoye, P.V.C., Okoye, J. F. N. & Ezejiofor, R.A. (2014). Investigated the impact of the IFRS adoption on stock market movement in Nigerian corporate organization. International Journal of Academic Research in Business and Social Sciences, 4(9), 202-218.

Sani S. & Umar D. (2014). An assessment of compliance with ifrs framework at first-time adoption by the quoted banks in Nigeria. Journal of Finance and Accounting, 2(3), 64-73.

Shehu, U.H. (2015). Adoption of international financial reporting standards and earnings quality in listed deposit money banks in Nigeria. Procedia Economics and Finance, 28, 92-101.

Singh, R. & Newberry, S., (2008).Corporate governance and international financial reporting standard (IFRS): The case of developing countries. Research in Accounting in Emerging Economies, 8, 483–518.

Sofia Santos (2015). The Role of Ethical Finance in the Wellbeing of the 21st Century Societies.

Taiwo, F. H., & Adejare, A. T. (2014). Empirical analysis of the effect of international financial reporting standards (IFRS) adoption on accounting practices in Nigeria. Archives of Business Research, 2(2), 1-14.

Ugbede O., Mohd L. & Ahmad K. (2014). International Financial Reporting Standards and the quality of banks financial statement information: evidence from an emerging market-Nigeria. European Journal of Business and Social Sciences, 3(8), 243 – 255.

Wilson, E. H. & Ioraver, N. T. (2013). Economic consequences of international financial reporting standards (IFRS) adoption: Evidence from a developing country, (5), 28.

Yahaya, O. A., Yusuf, M. J. and Dania, I.S. (2015). International financial reporting standards’ adoption and financial statement effects: Evidence from listed deposit money banks in Nigeria, Research Journal of Finance and Accounting, 6(12), 107-122.

DOI: http://dx.doi.org/10.26458/1813

Copyright (c) 2018 Elosiuba J. N., Emma OKOYE

Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.




To crown and encourage research efforts of the authors, at the end of a year of publishing our journal board will award online the best papers by distinctions:

1. Best Original Paper Award -  for the paper that has brought something completely new in the reader's attention (a new concept, a new trend, a new proposal in research, etc.)

2. Excellence Award - for the most cited paper and visualized in the online environment during the year

3. First, Second and Third Award- for the best documented and substantiated papers during the year

4. Special Award - to award PhD students and postdocs for the most well documented and substantiated paper

Administred:Rocsana B. Manea Tonis