The Nigerian Deposit Insurance Corporation (NDIC) says had declared a 100 per cent liquidation dividend in 20 institutions out of 49 deposit money bank ((DMBs) in-liquidations.
Bello Hassan, the Managing Directo of NDIC, who disclosed this at the 2022 Finance Correspondents Association Nigeria Workshop in Port Harcourt, Rivers State, with the theme: Boosting Depositor’s Confidence Amidst Emerging Issues and Challenges in the Banking Industry, said the corporation realised enough funds from their assets to pay all depositors of the listed banks fully.
He, however, noted that as of June 2022, the corporation had cumulatively paid ₦11.83 billion to over 443,949 insured depositors and over ₦101.37 billion to uninsured depositors of all categories of banks in liquidation.
He said, “The NDIC bank liquidation mandate entails reimbursement of insured and uninsured depositors, creditors, and shareholders of banks in liquidation. As of June 30, 2022, the liquidation activities covered a total of 467 insured financial institutions in liquidation, comprising 49 DMBs, 367 MFBs, and 51 PMBs.
On deposit guarantee, he explained that the corporation deposited insurance coverage to 981 insured financial institutions.
According to him, The breakdown includes: thirty-three (33) DMBs made up of Twenty-Four (24) Commercial Banks, six Merchant Banks and three Non-Interest Banks (NIBs) plus two Non-Interest Windows; 882 Microfinance Banks (MFBs); 34 Primary Mortgage Banks (PMBs); Three (3) Payment Service Banks (PSBs) and 29 Mobile Money Operators.
“In the area of scaling up the deposit insurance framework and ensuring faster and orderly resolutions of liquidated insured institutions, in May this year, with the active participation of the relevant stakeholders, we developed and deployed the Single Customer View (SCV) platform for the Microfinance and Primary Mortgage Banks to strengthen our processes and procedure for data collection,” he said.
“The platform would not only ensure availability of quality, timely and complete data to the NDIC but eliminate delays often experienced in reimbursing depositors following revocation of institutions’ licenses by the CBN.
“The final phase of the implementation of the SCV for Deposit Money Banks (DMBs) will be achieved through the incorporation of the SCV template as part of the ongoing Integrated Regulatory Solution (IRS) jointly being developed with the CBN.
In the area of consumer protection, he said, the Corporation has strengthened its complaints resolution platforms, which include the Toll-Free Help Desk, social media handles and Complaints Desks in the Bank Examination, Special Insured Institutions and Claims Resolutions Departments, as well as our Zonal Offices, to receive and process complaints from depositors.
