Abuja: The Nigeria Deposit Insurance Corporation (NDIC) has reiterated its commitment to protecting depositors’ funds and enhancing financial system stability through reforms aligned with the Federal Government’s Renewed Hope Agenda. The reaffirmation came during a second-quarter citizens and stakeholders’ engagement session at the Federal Ministry of Finance in Abuja, where the Managing Director of NDIC, Dr. Thompson Sunday, emphasized the corporation’s dedication to transparency, accountability, and public education regarding its statutory responsibilities and contribution to national development.
According to News Agency of Nigeria, Dr. Sunday highlighted that the NDIC Act of 2023 empowers the corporation to guarantee deposits, supervise banks, resolve distressed institutions, and liquidate failed banks. This deposit insurance ensures customer protection by guaranteeing deposits when a bank’s license is revoked by the Central Bank of Nigeria (CBN). He further explained that NDIC supervises banks in collab
oration with the CBN through on-site examinations and off-site surveillance to safeguard financial stability.
Dr. Sunday elaborated on the corporation’s efforts in resolving distressed banks before their collapse and ensuring the orderly liquidation of institutions whose licenses have been withdrawn. He stated that NDIC aims to be among the world’s leading deposit insurers through effective supervision, prompt reimbursement, and financial system stability. The corporation supports the Renewed Hope Agenda by promoting economic stability, financial inclusion, digital finance, and protecting vulnerable depositors.
The 2023 NDIC Act aligns with international best practices under the International Association of Deposit Insurers, prioritizing depositors over creditors and shareholders during bank liquidation to ensure quicker access to insured funds. Dr. Sunday noted that the law strengthens NDIC’s powers to resolve failing banks, recover assets, and prosecute those responsible for bank failures. Additionally, d
eposit insurance coverage has been significantly increased to bolster public confidence and deepen financial inclusion, with coverage for deposit money banks rising from N500,000 to N5 million, and for microfinance and primary mortgage banks from N200,000 to N2 million.
Dr. Sunday also mentioned that mobile money subscribers and payment service bank customers now enjoy deposit protection of up to five million Naira, covering 98.98% of deposit money bank customers and almost all customers of payment service banks. Despite the law allowing 30 days for reimbursement, NDIC now pays insured deposits within 72 hours after license revocation, achieving this timeline using the Bank Verification Number (BVN) and Nigeria Inter-Bank Settlement System platforms.
During the session, it was revealed that NDIC currently supervises 914 licensed institutions with more than 281 million deposit accounts nationwide, having paid N51.04 billion as insured deposits to Heritage Bank customers after the bank’s license was revoked.
The corporation has also paid N33.59 billion in liquidation dividends to uninsured depositors while continuing with further recoveries.
Additionally, Dr. Sunday shared that NDIC conducted on-site examinations of 287 financial institutions in 2025 and resolved about 85% of depositor complaints received. He assured Nigerians of NDIC’s ongoing commitment to reviewing deposit insurance coverage, strengthening digital finance, and sustaining confidence in the banking sector. The corporation has contributed approximately N950 billion to the Federal Government’s Consolidated Revenue Fund, including about N274 billion in the previous year.
Earlier in the session, Mr. Raymond Omachi, the Permanent Secretary Finance (PSF) at the Federal Ministry of Finance, emphasized the importance of sustained stakeholder engagement for effective fiscal reforms, transparency, and improved public service delivery. He noted that the engagement reflects the ministry’s commitment to transparency, accountability, and effective communica
tion with citizens and stakeholders on government policies and programs.
Mr. Omachi highlighted that the reforms under Tinubu’s administration aim to restore macroeconomic stability and strengthen public financial management, placing Nigeria’s economy on a sustainable growth path while promoting efficiency, accountability, and prudent management of public resources. Continuous public engagement is seen as necessary for better understanding and constructive dialogue regarding fiscal policies directly affecting Nigerians’ livelihoods. The NDIC was selected for the current session due to its critical role in safeguarding depositors and financial stability, with expectations that the engagement would deepen public understanding of financial sector reforms and improve policy implementation.