NDIC reassures depositors, warns against ponzi schemes

By Ramatu Garba

The Managing Director of the Nigeria Deposit Insurance Corporation (NDIC), Mr Thompson Oludare-Sunday, has reaffirmed the corporation’s commitment to safeguarding depositors’ funds and promoting financial system stability across the country.

Oludare-Sunday stated this on Wednesday during the NDIC Special Day at the ongoing 46th Kano International Trade Fair, organised by the Kano Chamber of Commerce, Industry, Mines and Agriculture (KACCIMA).

He said the fair, themed “Empowering SMEs for Sustainable Development,” was a vital platform for promoting entrepreneurship, financial literacy and innovation, noting such engagements were critical to Nigeria’s economic growth.

The NDIC boss, represented by the Deputy Director, Procurement Management Services Department, Mr Kayode Shokunbi, commended KACCIMA for its consistency in hosting the annual fair.

He described the event as a catalyst for business networking, investment promotion, and sensitisation on developments in the financial sector.

He said the corporation had, for 37 years, played a central role in protecting depositors’ funds and maintaining confidence in the banking system through supervision, deposit insurance, bank resolution, and liquidation.

Oludare-Sunday explained that the NDIC, working closely with the Central Bank of Nigeria (CBN), had strengthened regulatory frameworks to ensure compliance and stability across all insured deposit-taking institutions.

He stated that the maximum deposit insurance coverage had been increased to N5 million for Deposit Money Banks (DMBs), Mobile Money Operators (MMOs) and Non-Interest Banks (NIBs).

He added that Microfinance Banks (MFBs), Primary Mortgage Banks (PMBs) and Payment Service Banks (PSBs) now enjoy N2 million coverage.

“This expanded coverage protects about 99 per cent of depositors and reflects our unwavering commitment to our mandate,” he said.

He advised bank customers to ensure that the name on their Bank Verification Number (BVN) matched the details on their official identification documents to facilitate prompt access to insured deposits in the event of a bank failure.

He cautioned Nigerians against investing in Ponzi schemes and fraudulent platforms, warning that only funds kept in CBN-licensed banks were protected by deposit insurance.