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This study was carried out to examine the Impact of financial reforms on Economic Performance in Nigeria. The study sought to assess the performance of Nigerian Banks as influenced by changes in the economy as well as changes in other sectors of the financial system. Following a forty year review of the performance of Nigeria’s economy in tandem with the performance of Banks in the face of the ebbs and flows of the identified parameters, the study noted two eras of pre-reform (1970-1985) and the reformed (1995-2010) financial eras. To this end it was concluded that reforms so far implemented have not significantly move the economy foreword and consequently banks have not also performed as had been expected; but rather, the reforms have created avenues for executive fiat, corruption and embezzlement of public funds. The study recommended that government should ensure that subsequent reform policy thrust be geared toward proper reserves management, efficient stock market operation etc, to enable banks put their capital and asset base to full utilization, while insurance sector should be given proper policy consideration for its development,capable of moving the economy forward.