….…  Pays Over N113B To Depositors Of Banks In-liquidation 

Amaka Obiefuna

 

The Nigeria Deposit Insurance Corporation (NDIC) has continued to show commitment to capacity building as part of its contribution to achieving job efficiency both for the media and other stakeholders in the industry.

 

This is just as its Managing Director/Chief Executive Officer of the Corporation, Bello Hassan, has said that if the media understands its programmes and policies it will both be better informed in the coverage of its activities and also be well-equipped to contribute to NDCI’s advocacy and mobilisation for a resilient financial system, recently.

 

Hassan stated this while delivering his keynote address at the 19th edition workshop for Business Editors and Finance Correspondents Association of Nigeria (FICAN), which held at the Hotel Presidential, Port Harcourt, Rivers State.

 

He noted that the workshop has evolved into the flagship capacity building and engagement platform by the Corporation, not only with the media, but with the members of the civil society groups and the Association of Corporate Affairs Managers of Banks (ACAMB).

 

Hassan said: “This event has over the years, promoted better understanding of the Corporation’s roles in achieving financial system stability.

 

“It has also strengthened and broadened the media’s ability to interrogate and interpret topical issues in the financial services sector in general.

 

“In addition, the Corporation has been able to promote better understanding of its mandates and activities among members of the civil society organisations, thereby fostering collaboration in the area of enlightenment of the public on the benefits of the Deposit Insurance System (DIS).”

 

The workshop themed ‘Boosting Depositors’ Confidence Amidst Emerging Issues and Challenges in the Banking System,’ Hassan said, was carefully chosen in line with its aforementioned objective.

 

“It is instructive to add that we have painstakingly selected highly seasoned facilitators from within the Corporation, the Central Bank of Nigeria (CBN) and the media to do justice to the various papers presentated at this workshop,” he added.

 

He expressed optimism that with the coming onboard of the Corporate Affairs Managers of Banks (ACAMB), the same high level of partnership, will be fostered towards educating bank depositors about the importance of the DIS through your consistency in the seminar.

 

Major papers presented at the workshop include: Understanding the Role of Premium Contribution in an Ex Ante Funding of Deposit Insurance System; Naira Redesign; The Role of the Media in Addressing Emerging Issues in the Banking Industry, Rising Ponzi Schemes and Investment Scams in Nigeria; Currency Re-design and Deposit Insurance in Nigeria Beyond Deposit Insurance,

 

Hassan also seized the opportunity to announce that the NDIC has expended over N113 billion for the payment of both insured and uninsured depositors of banks in-liquidation.

 

Giving the breakdown, he said as at June 2022, the NDIC had cumulatively paid ₦11.83 billion to over 443,949 insured depositors and over ₦101.37 billion to uninsured depositors of all categories of banks in-liquidation.

 

He added that out of the 49 Deposit Money Banks (DMBs) in-liquidation, the Corporation in September, 2022 declared 100 per cent liquidation dividend in 20 of those institutions, which meant that the Corporation has realised enough funds from their assets to fully pay all depositors of the listed banks.

 

The landmark achievements by the Corporation according to the Managing Director was hinged on the active support of strategic stakeholders including the media.

 

In the area of scaling-up the deposit insurance framework and ensuring faster and orderly resolutions of liquidated insured institutions, he explained that in May this year, with the active participation of the relevant stakeholders, the NDIC successfully developed and deployed the Single Customer View (SCV) platform for the Microfinance and Primary Mortgage Banks in order to strengthen its processes and procedure for data collection.

 

He informed that the platform would not only ensure availability of quality, timely and complete data to the NDIC, but would eliminate delays often experienced in reimbursing depositors following revocation of institutions’ licenses by the CBN.

 

Hassan further explained that Banks (DMBs) will be achieved through the incorporation of the SCV template as part of the on-going Integrated Regulatory Solution (IRS) jointly being developed with the CBN.

 

He also announced that the Corporation has strengthened its complaints resolution platforms, which include the Toll-Free Help Desk, social media handles and Complaints Desks in the Bank Examination, Special Insured Institutions and Claims Resolutions Departments, as well as its Zonal Offices, to receive and process complaints from depositors