NDIC Pays N118.71bn To Bank Depositors, Says MD

The Nigeria Deposit Insurance Corporation (NDIC) said it has paid N118.71 billion to both the insured and uninsured depositors of failed banks as of June this year.

The Managing Director/Chief Executive of the corporation, Bello Hassan, said this on Tuesday in Abuja at the September 2021 Bureau of Public Service Reforms (BPSR) Lunch Time Seminar (LTS) series, with the theme, “Roles, Responsibility and Contributions of the Nigeria Deposit Insurance Corporation (NDIC) to the Growth and Development of Nigerian Economy”.

Speaking on bank liquidation, Hassan said that when a license is revoked, the NDIC steps in to ensure orderly exit from the system and promptly pay insured deposit, and later uninsured, creditors and shareholders.

“As at end June 2021, the corporation has cumulatively paid N8.27bn, N3.38bn and N0.11bn to insured depositors of Deposit Money Banks (DMBs), Microfinance Bank (MFBs)

and Primary Mortgage Bank (PMBs), respectively, representing 60.71 percent, 46.94 percent and 18.10 percent of the insured amounts, respectively,” he said

“Payment to uninsured depositors, creditors and shareholders of DMBs cumulatively stood at N100.85bn, N1.27bn and N4.83bn, respectively. This represents 51.07 percent 73.13 percent and 92.81 percent of the respective amounts,” he said.

Speaking earlier, the Director General of BPSR, Mr. Dasuki I. Arabi, said the topic was timely and relevant due to the importance of the safety of individual and corporate depositor’s funds to the financial stability of the Nigerian Economy.