The Nigeria Deposit Insurance Corporation (NDIC) says it will keep ensuring an effective deposit insurance system by covering eligible deposits and products in the banking system.
The Managing Director of the Corporation, Mr. Bello Hassan, stated this during the NDIC Special Day at the ongoing 44th Kaduna International Trade Fair, on Thursday in Kaduna.
The Nigeria Deposit Insurance Corporation (NDIC) is an important government agency that provides a deposit insurance system to ensure the safety of deposits in banks and other financial institutions. Its primary purpose is to protect depositors from any losses due to bank failure or fraud.
In his statement, Mr. Bello Hassan noted that the corporation has been effective and efficient in discharging its mandate from inception till date, living up to its public policy objectives, and has extended deposit insurance coverage to depositors of non-interest banks (NIBs), payment service banks (PSBs), and subscribers of mobile money operators (MMOs).
He also announced that depositors of Deposit Money Banks (DMBs), Primary Mortgage Banks (PMBs), Microfinance Banks (MBs), Payment Service Banks (PSBs), and Mobile Money Operators (MMOs) have been insured up to a maximum limit of N500,000 per depositor per bank. Deposits at microfinance institutions are guaranteed up to a maximum of N200,000 per depositor and per bank.
The NDIC boss also urged depositors of 20 closed banks that declared full liquidation dividends to come forward for verification and payment of their deposits.
The NDIC’s activities through the supervision of banks not only enhance depositors’ confidence in the financial system but also serve as an incentive for the unbanked to access the financial services of licensed banks.
