Payments To Failed Banks’ Depositors Now N116.2bn – NDIC

Nigerian Deposit Insurance Corporation (NDIC) The Nigerian Deposit Insurance Corporation (NDIC) has said it will apply more stringent supervisions of banks going forward in partnership with the Central Bank of Nigeria (CBN). This is even as cumulative payments to depositors of failed banks as at the close of 2018 stood at N116.258 billion.

The Managing Director/CEO of NDIC Alh. Umaru Ibrahim disclosed this yesterday during the NDIC special day at the ongoing 2019 Abuja International Trade Fair, in Abuja. The NDIC CEO was represented by Mr. Mustapha Ibrahim, the Director, Research at the corporation.

“Cumulative payments in the sum of N116.258 billion to depositors of closed banks as at 31st December, 2018 comprising payments of insured and uninsured deposits of N108.641 billion, N2.973 billion and N70.53 million to depositors of defunct DMBs, MFBs and PMBs, respectively,” he said.

To ensure the banks are better supervised to minimize cases of failure, he said “in the coming years, the NDIC will continue to work with the CBN to ensure effective supervision of banks and the adherence to prudential guidelines and code of corporate governance for banks to ensure their safety and the overall stability of the Nigerian financial system.”

Meanwhile, the NDIC has started paying depositors of 154 Micro Finance Banks (MFBs) whose licenses were revoked by the Central Bank of Nigeria (CBN) in 2018 as a result of insolvency. Managing Director of NDIC, Alhaji Umaru Ibrahim, disclosed this on Thursday at the ongoing 14th edition of Abuja International Trade Fair.

“As at June 30, the corporation received 35 petitions/complaints from banks customers on various issues such as ATM frauds, unauthorized funds transfer and cheques related issues. Investigations were carried out and where necessary customers were appropriately reprieved,’’ he said.