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The study examines the effectof credit risk management on financial performance of Deposit Money Banks (DMBs) in Nigeria and Ghana between 2014 and 2023. A longitudinal research approach was adopted in the study. The population consisted of all the quoted deposit money banks in Nigeria and Ghana stock market as of December 31st, 2023, of which eighteen (18) deposit money banks with published annual reports and accounts for the period of the study were selected to comprise the study's sample and the sample was chosen using purposive sampling technique. The Panel Least Squares estimation method was used to estimate the model. The results of the study show that non-performing loans, capital adequacy ratio and loan loss provision are the critical credit risk management variables that influences financial performance of Deposit Money Banks (DMBs) in Nigeria and Ghana while loan to deposit ratio seems not to be a key factor that influences the financial performance of Deposit Money Banks (DMBs) in Nigeria and Ghana. Hence, the study concludes the credit risk management influences the financial performance of Deposit Money Banks (DMBs) in Nigeria and Ghana. The study recommends among others that banks manager should try to lower the non- performing loan so that credit risk could be minimize and the performance could maximize. The manager must be very careful while they are giving loan.Also, it is expedient for deposit money banks in Nigeria and Ghana to maintain an optimum level of core capital and statutory capital to improve banks financial performance and to ensure that they can fund their liabilities when they are expected to do so.
