NDIC Supports CBN's Bank Recapitalisation Move, Pledges Collaboration for Economic Resilience

NDIC Supports CBN’s Bank Recapitalisation Move, Pledges Collaboration for Economic Resilience

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The Nigeria Deposit Insurance Corporation (NDIC) has thrown its weight behind the Central Bank of Nigeria (CBN) over its move to recapitalise banks, saying the apex bank’s decision will achieve economic resilience in the country.

The Managing Director of NDIC, Bello Hassan, made the commendation at the weekend during the NDIC Special Day at the ongoing 35th Enugu International Trade Fair.

The fair, which began on April 5, is themed: ‘Promoting made-in-Nigeria products for global competitiveness’.

 Hassan pledged that the NDIC would continue to collaborate with the central bank to ensure a seamless transition while safeguarding depositors’ interests.

According to him, in light of the ongoing global economic dynamics, the CBN has stepped up regulatory efforts to ensure the resilience and stability of the Nigerian banking sector.

Hassan said that a significant stride in this direction remained the recent revision and pegging of higher minimum capital requirements for banks operating in Nigeria.

“Under this proposal, commercial banks would be required to maintain minimum capital levels of N500 billion, N200 billion, and N50 billion for international, national, and regional institutions.

“As well as N50 billion for merchant banks, while national and regional non-interest banks are required to maintain N20 billion and N10 billion respectively.

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“This strategic recapitalisation initiative is in line with President Bola Tinubu’s administration plan to grow Nigeria’s economy to the ranks of $1 trillion base economies.

“This will not only strengthen the banking system but would also enhance the sector’s ability to withstand financial shocks,” he said.

Hassan revealed that since the CBN revoked the licences of 179 Microfinance Banks and four Primary Mortgage Banks in 2023, the NDIC had continued to efficiently disburse insured sums to verified depositors of these closed institutions.

He noted that depositors, who had undergone verification and had provided alternative account details, had received their payments seamlessly within a record period of five working days.

“While it is worth noting that depositors with amounts exceeding the insured limit will receive liquidation dividends once debts are recovered and assets of the closed banks are disposed of.

“Moreover, the NDIC strongly encourages depositors of the affected banks to come forward with their Bank Verification Number (BVN), proof of account ownership, proper identification, and/or alternative account details.

“Various channels are available for claims, including visiting the nearest NDIC offices in person, using the NDIC App online, or accessing the Claims Page on the NDIC website.

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“Additionally, they can reach out through our Toll-Free Help Desk Line at 0800 634 424 357 for further inquiries as we remain steadfast in fulfilling our mandate and prioritising the safety of depositors’ funds,” he said.

Earlier, President of Enugu Chamber of Commerce, Odeiga Jideonwo, said that NDIC had given Nigerians the confidence that their deposit is safe.

Jideonwo appreciated the work of NDIC as it had ensured financial stability, growth, and confidence in the financial sector, adding those days when depositors are worried about their deposits being gone.

James Emejo

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