NDIC restates commitment to financial system stability
The Nigerian Deposit Insurance Corporation (NDIC) has said it will continue its collaboration with the Central Bank of Nigeria to ensure a safe and secure financial system.
In an address at the opening ceremony of the 2023 NDIC Editors Forum held at the weekend in Lagos, it’s Managing Director/Chief Executive, Bello Hassan, added that it would support the fiscal authority in maintaining stability within the broader financial system, serving as the foundation for economic growth and development.
He said, “The Corporation’s operations which focuses on minimising bank runs and bank failures through strict banking supervision, reimbursement of insured depositors in the event of bank failure, and orderly liquidation of failed banks, complements the efforts of the Central Bank of Nigeria to achieve a secure and stable banking system.”
While stating that the Deposit Insurance System implemented by the NDIC is an important component of the nation’s financial safety net, the Managing Director said, the collaboration with the CBN has helped to effectively address various challenges in the financial system.
“It is within this context that the NDIC aligns itself with the Central Bank of Nigeria’s efforts towards strengthening the banking industry through enhancing prudential thresholds and other regulatory instruments while deepening engagement and collaboration with all relevant stakeholders in the Nigerian financial system to effectively address challenges and implement solutions,” he said.
The NDIC helmsman disclosed that the Corporation introduced the Single Customer View (SCV) framework that has enhanced speedy payment of insured sums to depositors of closed banks as well as enhanced collaboration with the bar and bench, leading to speedy prosecution and more informed judgements on failed banks cases, including resolution of long-drawn cases of closed banks such as Fortune and Triumph Banks in-liquidation. This is in addition to instituting a framework that for out-of-court settlement.
To further enhance one of its mandate of ensure stability of the financial system, Hassan said it will continue to sustain the NDIC Editors Forum in order to sustain engagement and foster a deeper understanding of the Corporation’s mandate, policies, and programs among the high echelons of the nation’s media industry.
According to him, the ultimate objective is to facilitate robust collaboration, enhance public awareness, and strengthen public confidence in the Deposit Insurance System in Nigeria, contributing to the overall stability of the nation’s financial system.
“This Editors Forum, therefore, serves as a consolidation of our ongoing efforts to deepen our close and cordial relationship with the leadership of the media industry, ensuring that we continue to work as partners in progress for the successful implementation of the Deposit Insurance System in Nigeria, for the benefit of our people,” he added.
Reeling out the Corporation’s achievement so far, he said it was aimed at positioning NDIC to fulfill its mandate by providing excellent and efficient services to our stakeholders across board leading to several recognitions and awards.
The 2023 Forum had as its theme: “Stocktaking of Deposit Insurance Practice: Assessing the Past, Evaluating the Present and Forecasting the Future”.
