Wednesday, June 19, 2024

NDIC Ensures Depositors’ Reimbursement from 179 Closed Banks

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NDIC Ensures Depositors’ Reimbursement from 179 Closed Banks

In a significant move aimed at restoring trust and stability in Nigeria’s financial sector, the Nigeria Deposit Insurance Corporation (NDIC) has proudly announced the successful reimbursement of deposits from 179 microfinance banks and four primary mortgage banks across the nation. This momentous update was revealed by Dr. Bello Hassan, the Managing Director of NDIC, during the NDIC Special Day at the ongoing 45th Kaduna International Trade Fair.

Dr. Hassan, represented by Hauwa Gambo, the Deputy Director of Communication at NDIC, underscored the corporation’s unwavering commitment to safeguarding the hard-earned funds of Nigerian depositors, especially in distressed licensed banks. He emphasized the adoption and implementation of the Single Customer View framework, a strategic measure aimed at expediting payments to depositors of closed banks, thereby ensuring prompt and efficient reimbursements.

Furthermore, Dr. Hassan shed light on NDIC’s collaborative efforts with the judiciary to expedite the prosecution of failed insured banks. This collaborative endeavor has resulted in the resolution of longstanding cases, including the liquidation proceedings of Fortune and Triumph Banks, thereby enhancing accountability and restoring confidence in the banking system.


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Highlighting the notable progress in debt recovery rates, Dr. Hassan proudly announced the declaration of 100% liquidation dividends to uninsured depositors of over 20 banks currently undergoing liquidation. This development underscores NDIC’s relentless pursuit of effective debt recovery mechanisms to ensure maximum restitution to affected depositors.

In line with its commitment to innovation and modernization, the NDIC has embarked on initiatives geared towards enhancing digital payment infrastructure. Dr. Hassan elaborated on the deployment of digital remote payment strategies, facilitating seamless electronic fund transfers to verified depositors’ alternate bank accounts. Additionally, innovative solutions such as the ‘Deposit Tracer,’ a collaborative effort with Mobile Operators, have been introduced to address challenges faced by depositors with small balances, enabling them to access their funds conveniently through mobile accounts.

Dr. Hassan extended a heartfelt call to depositors of banks undergoing liquidation, urging them to leverage these pioneering initiatives to claim their funds. He reassured depositors of NDIC’s steadfast commitment to protecting the interests of Nigerian depositors, underscoring the corporation’s pivotal role in ensuring financial stability and consumer confidence within the banking sector.

The successful reimbursement of deposits from 179 closed microfinance and primary mortgage banks marks a significant milestone in NDIC’s ongoing efforts to uphold the integrity and resilience of Nigeria’s financial landscape. Through proactive measures, collaborative partnerships, and innovative solutions, NDIC continues to champion the cause of depositor protection and financial inclusivity, laying a solid foundation for sustainable economic growth and development across the nation.

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