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This research work is geared towards the investigation of the effect of fiscal and monetary policies on commercial bank and other financial institution, government through various agencies issues fiscal and monetary which are assumed to  determine whether these polices have any significant impact on the commercial banks and other financial institution, questionnaires were administered on this research work on which the questionnaires are distributed to 30workers of union bank and the result was analysis through the use of statistical table, percentage and it was tested through the use of Chi-square method, Results shows that fiscal and monetary policies had enhanced operational efficiency in Nigeria financial institution by reducing financial indiscipline in the financial and fiscal systems. It was concluded that fiscal and monetary policies had excite government to committed budgetary management which would also address lack of the usual standard in the financial system. Therefore it deals with economy stabilization performance and financial discipline.


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