- The role of NDIC in safe guiding the interests of depositors, maintaining financial stability, and promoting public confidence in the banking sector cannot be overstated
The Managing Director/Chief Executive Officer of the Nigeria Deposit Insurance Corporation, Bello Hassan, emphasized the security of bank customers’ funds, assuring that the banks are in a stable condition.
He conveyed this message during a retreat organized by the corporation in Lagos with the theme ‘Maintaining a Resilient and Stable Banking System: The Role of NDIC.’ This assurance is particularly relevant given recent changes in bank leadership, with some boards dissolved by the Central Bank of Nigeria and new CEOs and Executive Directors appointed temporarily, raising concerns about the affected banks.
Hassan said, “The banking system today in Nigeria is safe and sound. I’m saying this not out of sentiment, but looking at the financial soundness indicators, in terms of capital adequacy, the quality of earnings, and the quality of the assets.
“So, I can confidently say that the banking system in Nigeria today as we speak, is safe and sound and depositors can continue to patronise, licensed deposit-taking institutions that are fully insured by the NDIC.”
On the theme of the retreat, the NDIC boss said, “This theme is apt given the determination of the federal government towards achieving sustainable growth by strengthening the financial sector to boost economic growth.
“This falls in line with the corporation’s contribution to ensuring the stability of the financial system by effectively supervising the banking sector and safeguarding depositors’ funds from the adverse effects of bank failure.”
Also speaking at the retreat, the Chairman, House of Representatives Committee on Insurance and Actuarial Matters, Ahmed Jaha, restated the Federal Government’s dedication to preserving financial stability.
He said that the committee would take a proactive stance in formulating regulatory frameworks and providing support to the NDIC to effectively safeguard and secure depositors’ funds in Nigeria.
Jaha noted that with a significant number of new members, comprising over 75 per cent of the committee in the 10th Assembly, there arose a pressing need for these representatives to gain a comprehensive understanding of the insurance sector and that the retreat would equip members with the knowledge required to contribute meaningfully to the sector’s advancement, particularly in ensuring the safety of depositors’ funds.
He said, “As the chairman of the House Committee on Insurance and Actuarial Matters, I’m deeply committed to the advancement and oversight of the insurance and banking sectors in our country.
“I believe that the stability and resilience of our banking system are fundamental to the overall economic well-being of Nigeria. The role of NDIC in safe guiding the interests of depositors, maintaining financial stability, and promoting public confidence in the banking sector cannot be overstated.
“It is therefore imperative that we, as representatives of the people, engage in meaningful discussions and collaborations with the NDIC to ensure the effectiveness of this mandate. This retreat provides us with a valuable opportunity to engage in insightful discussions share knowledge, to gain a deeper understanding of the challenges and opportunities facing the banking and insurance industry.
“By doing so, we can collectively develop informed policies and strategies that will promote a stable, resilient, and inclusive banking system for the benefit of all Nigerians. The committee is first collaborating with the agency and all various agencies that provide some kind of financial safety net in the country and even beyond to make sure that the committee has provided the required legal framework for such regulatory agencies to succeed. NDIC as you are all aware, provides the safety of depositors funds and promotes depositors’ confidence in the financial system in the country.”
Discussion about this post