The Nigeria Deposit Insurance Corporation, (NDIC) has warned Nigerians citizens to stay away from Ponzi schemes and other fraudulent investment platforms in the country so as to avoid a story that touches.
The Managing Director of NDIC, Mr Thompson Sunday, said this at the corporation’s special day at the 20th Edition of the Abuja International Trade Fair organised by the Abuja Chamber of Commerce and Industry (ACCI).
Mr Sunday who was represented by Mrs Bimpe Akande, the Director, Performance Management Department of NDIC, advised citizens to always ensure their funds were placed only in Central Bank of Nigeria (CBN) licenced banks.
NDIC MD said that only funds in CBN licenced banks were covered by deposit insurance provided by the corporation.
According to him, “This vigilance is crucial to protecting your hard-earned savings.’
For over three decades, the NDIC has played a vital role in safeguarding depositors funds, particularly the most vulnerable, and fortifying the financial system.
He noted that NDIC primary objectives include insuring deposits in licenced banks, supervising financial institutions, managing distressed banks, and ensuring a smooth resolution process in the event of bank failures.
He said “We are dedicated to protecting Nigerian bank, in collaboration with the CBN, we strive to maintain stability in the banking sector, enforce compliance with banking regulations, and exercise effective oversight over insured deposit-taking institutions.
“Our mission, embodied in the tagline ‘Protecting your bank deposits,’ is to promote financial inclusion and ability by reassuring Nigerians of the security of their savings,” he said.
Mr Sunday mentioned that the significant progress had been made in protecting depositors’ funds through the increase in the maximum deposit insurance coverage, which had broadened protection across various licenced banks.
He said the corporation insured depositors of Deposit Money Banks (DMBs), Mobile Money Operators and Non-Interest Banks, up to a coverage limit of five million naira.
The managing director said that depositors of Payment Service Banks (PSBs), Microfinance Banks (MFBs) and Primary Mortgage Banks (PMBs) were insured up to two million naira.
NDIC boss explained that the enhanced coverage ensured that approximately 98.98 per cent of total depositors in DMBs, 99.27 per cent in MFBs, 99.34 per cent in PMBs, and 99.99 per cent in PSBs were protected.Sunday revealed that the development reflected the corporation’s unwavering commitment to fulfilling its mandate.
The President, ACCI, Chief Emeka Obegolu said the theme of the fair: ‘Sustainability: Consumption, Incentives and Taxation’, aligned with the mandate of the NDIC.
The President represented by, the Director-General, ACCI, Chief Agabaidu Jideani, said that theNDIC provided the stability required for businesses, including Small and Medium Enterprises (SMEs) represented by the ACCI, to access financial services, thrive in operations, and expand into export markets.
The president said the role of NDIC was critical in today’s global economy, where financial resilience was directly linked to sustainable growth.
According to him, “We commend NDIC’s initiatives in advancing financial inclusion, especially through its digital innovations and strong consumer protection framework.
He said “by extending deposit insurance coverage beyond deposit money banks to include microfinance, mortgage, non-interest, payment service banks, and mobile money operators, NDIC has shown responsiveness to the evolving dynamics of Nigeria’s financial landscape.“
“These interventions not only protect depositors but also create a more enabling environment for SMEs and entrepreneurs to participate confidently in the economy,”
Written by Sherifat Oyediran