Abstract The current credit crisis and the transatlantic mortgage financial turmiol have questioned the effectiveness of bank reforms and monetary policy in correcting the defect in the financial sector for sustainable development. Many banks reforms has taken place in Europe, America, and Asia in the last two decades without any solution in sight to bank failures and crisis. The paper attempts to examine the performance of government induced bank reforms and macro economic performance in Nigeria in post reform period. We noticed that the post reform programme has not improved the overall performances of banks significantly and also has contributed marginally to the growth of the real sector for sustainable development. We also find out that bank sets management strategies for them to attain growth and development in the economy. The paper posits further that commercial banks should try to formulate a good management strategies, to develop a new framework for efficient and effectiveness in their banking business.