*Pix above: Bashir Alhassan Nuhu
The NDIC came into existence via Decree 22 of 1988 and commenced operations in June 1989.
The concept of deposit insurance is a financial guarantee to protect depositors in the events of bank failure and also to offer a measure of safety for the banking system.
It would be recalled that the primary role of the Nigeria Deposit Insurance Corporation (NDIC )is aptly – to protect depositors and contribute to the stability of the financial system through effective supervisions of insured institutions , provision of financial/technical assistance to eligible insured institutions, prompt payment of guaranteed sums and orderly resolution of failed insured institutions.
Deposit Insurance forms part of the financial safety – net that works to ensure the stability of the nation’s financial system through depositors’ protection scheme and failure resolution mechanism.
key features of deposit insurance is its coverage level and scope and dept.
in fulfilling its mandate of protection of depositors and ensuring financial system stability, the NDIC with CBN had resolved several bank failures, with most recent being Heritage Bank liquidation amongst various options…
The present activities of NDIC in the country is to booster the confidence of the banking public of the assurance of compensation of their money in the event of CBN’s withdrawal of operating licence of any insured institutions by NDIC.///
* Keep the flag flying while it lasts Bros, kudos and more grease to your elbow.
By Moh’d Saeed, A.K.A Danasabe Harder*
