NDIC pays N1.084bn to 29,573 depositors of MFBs, MPBs

The Nigeria Deposit Insurance Corporation (NDIC) has revealed that it has paid an insured sum of N1.084bn to 29,573 depositors of MFBs, MPBs.

The payment follows the revocation of licenses for 179 Microfinance Banks and 4 Primary Mortgage Banks by the Central Bank of Nigeria (CBN).

The Managing Director of the NDIC, Mr Bello Hassan speaking at the Abuja International Tradefair said the NDIC immediately commenced liquidation of the banks and began disbursing insured sums to depositors within just 7 days of the closure of these banks.

“It’s important to note that as at 22nd September 2023, the Corporation had paid a cumulative insured sum of N1.084 billion naira to 29,573 depositors of the closed MFBs/MPBs.

“It is however instructive to let you know that payments are still ongoing and depositors with funds exceeding the insured limit will receive liquidation dividends after recovery of debts and sale of physical assets of the closed banks,” he revealed.

Speaking further, Bello added that “indeed, Nigerian depositors are our priority and our foundation is built on ensuring the safety and security of their deposits.”

“This ideal is encapsulated in our strap line; ‘Protecting your bank deposits!’ This is crucial for financial inclusion because it gives Nigerians the assurance that their money is safe and accessible when needed.

“Furthermore, the Corporation’s activities through the supervision of banks, continuous monitoring and oversight serves as consumer protection for depositors which enhances confidence in the financial system. This acts as an incentive for the unbanked to access financial services of licensed banks.

“Over the years, we have grown stronger in fulfilling these responsibilities and have significantly enhanced our public policy objectives of establishing a robust deposit insurance scheme in Nigeria,” Bello noted.