NDIC Pays N1.084bn To 29,573 Depositors Of Closed MFBs, MPBs
The Nigeria Deposit Insurance Corporation, NDIC said following the revocation of licenses for 179 Microfinance Banks and 4 Primary Mortgage Banks by the Central Bank of Nigeria (CBN), it immediately commenced liquidation of the banks and began disbursing insured sums to depositors within just 7 days of the closure of these banks.
According to NDIC as at 22nd September 2023, the Corporation had paid a cumulative insured sum of N1.084 billion naira to 29,573 depositors of the closed MFBs/MPBs.
This was disclosed by
Managing Director/Chief Executive of NDIC, Mr Bello Hassan, on the Occasion of the corporation’s Special Day at the 18th Abuja International Trade Fair on Thursday 5th October, 2023.
“It is however instructive to let you know that payments are still ongoing and depositors with funds exceeding the insured limit will receive liquidation dividends after recovery of debts and sale of physical assets of the closed banks.
“Nigerian depositors are our priority and our foundation is built on ensuring the safety and security of their deposits. This ideal is encapsulated in our strap line; “Protecting your bank deposits!”. This is crucial for financial inclusion because it gives Nigerians the assurance that their money is safe and accessible when needed”, Hassan said.
According to him the Corporation’s activities through the supervision of banks, continuous monitoring and oversight serves as consumer protection for depositors enhances confidence in the financial system, “adding that this acts as an incentive for the unbanked to access financial services of licensed banks.
He reiterated key mandate of the Corporation which he said is to provide deposit guarantee to depositors of insured financial institutions, bank supervision, distress resolution, and bank liquidation.
The NDIC boss commended the President and the entire team at the Abuja Chambers of Commerce for hosting the 18th edition of the Abuja International Trade Fair.
He said, “This year’s theme, “Sustainable Financing and Taxation as Drivers for the New Economy,” is especially relevant given the determination of government’s efforts towards achieving sustainable growth by strengthening the financial environment to boost economic growth. This falls in line with the Corporation’s contributions of ensuring the stability of the financial system by effectively complimenting the CBN in supervising the banking sector and safeguarding depositors’ funds from the adverse effects of bank failures when it occurs.”
