Bill to amend NDIC Act scales 2nd reading at senate

A Bill to amend the Nigeria Deposit Insurance Corporation (NDIC),  Act has scaled second reading in the Senate.

This followed the presentation of the lead debate on the general principles of the bill by the sponsor, Sen. Adetokunbo Abiru and co-sponsored by 41 other senators.

The bill is titled: “A Bill for an Act to Amend the Nigeria Deposit Insurance Corporation (NDIC) Act No 63 of 2023.

“To Make the Corporation More Effective, Ensure its Independence and Autonomy in Line with Section 1(3) of the Principal Act and for other related matters’’.

Leading the debate, Abiru who is Chairman, Senate Committee on Banking, Insurance and other Financial Institutions said that the bill was read the first time on  Nov. 22, 2023.

He said  the NDIC was set up for the protection of depositors and to guarantee the settlement of insured funds when a deposit-taking financial institution could no longer repay their deposits.

“Though the 2023 Act made substantial improvements to the 2006 Act, its implementation has been fraught with continuous debates.

“And there have been series of appeals from and consensus among stakeholders on the need for an amendment of the Act to address all the issues that have been raised concerning it,” he argued.

Abiru said the objectives of the Bill included to lay to rest  the claims that the document/Bill that was assented to  by the former President was materially different from what was passed by the ninth National Assembly.

In his remarks, Deputy Senate President, Jibrin Barau who presided at plenary,  said that the Bill would further strengthen the NDIC to perform its statutory functions optimally.

The bill was thereafter, referred to the Senate Committee on Banking, Insurance and other Financial Institutions for further legislative action and to report back in two weeks.