We’ve paid N11.76bn to over 530,000 bank depositors —NDIC

By Mahane Ose, November 27, 2021

NIGERIA Deposit Insurance Corporation, NDIC, has disclosed that it has paid a cumulative amount of N11.76 billion as insured sum to 535,815 depositors of closed banks since its inception till date.

It has warned Nigerians not to patronise the services of Ponzi schemes and illegal fund managers, otherwise called “wonder banks,” saying they were not licensed by the Central Bank of Nigeria, CBN, as deposit-taking institutions and not covered by the corporation.

Managing Director/Chief Executive Officer of NDIC, Bello Hassan, who gave the advice during the corporation’s special day at the 2021 Edo Trade Fair in Benin City, yesterday, said a total of N101.7 billion had been paid as uninsured sum as at June 30, 2021, while a total of N6.16 billion had been paid as liquidation dividend to 1,955 creditors and shareholders of closed banks.

Hassan, represented by Udofot Ukpong, Senior Manager, NDIC, Benin zonal office, restated their mandate of protecting depositors, supervising banks, distress resolution and bank liquidation, noting that a sound and stable financial system is the pivot upon which the economic system of any nation rests.

He said: “Instructively, the corporation has declared full payment of insured and uninsured sums to depositors of 18 banks in liquidation. This implies that the corporation has realised liquidation dividend to pay all depositors of the banks who present themselves for payment.
“NDIC has responded to innovations in the financial system by extending deposit insurance cover to Microfinance Banks, MfBs; Primary Mortgage Banks, PMBs; Mobile Money Services, MMOs; Payment Service Banks, PSBs, in order to engender confidence in the financial system.”


Speaking on the theme of the trade fair, “Expanding the frontiers of MSMEs through collaboration and capacity building,” he said: “This is the time to promote the Micro, Small and Medium Enterprises sector as the key component towards revitalising the nation’s economy.”

Earlier, Aina Omo-Ojeonu, President of Benin Chamber of Commerce, Industry, Mines and Agriculture, BENCCIMA, commended NDIC for the public enlightenment, tasking them to protect depositors.

“Before now, a lot of people did not know what NDIC is, but your presence has changed the narrative. It makes us confident that there is an organisation that is taking care of our money.

“We work hard for this money and want it to be protected. We don’t want a situation where we put our money in the bank and do not get it,” Omo-Ojeonu said.


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