European Scientific Journal,University Ss "Cyril and Methodius" Skopje,Republic of Macedonia,September 2013, Volume 9 Number 25 pp.318-334. The painful upheavals in so many companies in recent years reflect the failure of one-time industry leaders to keep up with the accelerating pace of industrial change and institute strategic policies. It was observed that the Nigerian Financial Sector is one of those sectors that have failed to keep up with the accelerated pace of change in the global economy. The Nigerian financial sector has experienced financial distress from pre-independence to date leading to the liquidation of financial institutions and loss of investments. The objective of this paper is to evaluate strategic planning and performance as catalyst for business sustainability and stability in the sector. The study is empirical with the use of research survey. Multivariate Analysis of Variance (MANOVA) was employed to analyze the results of the field survey and the testing of the hypotheses formulated in null form. The results of the surveys show that strategic planning was not properly instituted and in some cases missing in the financial sector which created serious problems for the nation. The paper recommends the transformation of the industry by reinventing strategy and run away from re-engineering which is a dead end.