Udenwa, Theresa A2023-12-102023-12-102002-12-17Nigeria Deposit Insurance Corporation - (1990) Annual Report and Statement of Accounts. Nigeria Deposit Insurance Corporation - (1991) Annual Report and Statement of Accounts. Nigeria Deposit Insurance Corporation - (1992) Annual Report and Statement of Accounts. Paxson, H.C (1992) Using Weather Variability to Estimate the Response of Saving to Transitory Income in Thailand, The American Economic Review, 82:1 Ray, D (1998) Development Economics, New Jersey: Princeton University Press Stigliz, J (1999) Responding to Economic Crises: Policy Alternatives for Equitable Recovery and Development. The Manchester School, 67:5 Umoh, P. N. (1993) Principles of Finance, Lagos :Page Publishers.https://keffi.nsuk.edu.ng/handle/20.500.14448/972The community banking scheme is an innovative banking institution that took off in Nigeria in 1990. It is meant to be a tool for the financial and economic emancipation of rural communities and groups like community development associations, co-operative societies, farmers’ groups and trade groups who hitherto had been finding it very difficult gaining access to credit facilities through the orthodox banking institution. Recent, as it is, there are currently more community banks in the country than any financial institution all spread throughout the states of the federation. But their operations have not been hitch-free as they have been encountering some problems. This paper, therefore, is an x-ray of the community banking scheme in Nigeria with a view to determining their problems and prospects for the future.enArticle