NDIC Reiterates Commitment to Protecting Mfbs Customers

Nume Ekeghe

The Managing Director/ Chief Executive Officer Nigeria Deposit Insurance Corporation (NDIC), Mr. Bello Hassan has said the corporation is working assiduously to ensure more Microfinance Banks (MFBs) are on the National Association of Microfinance Banks Unified Information Technology (NAMBUIT) to enhance resolutions in an event of failure.

He said this yesterday in his keynote address at the Editors’ Forum where the corporation gathered senior editors of media outlets to discuss, “Deposit Insurance System (DIS) and Financial System Stability.”

He noted that another initiative targeted at MFBs, the Single Customer View (SCV) reporting template would address challenges of delays in the payment of their depositors in the event of their failure and liquidation of Microfinance and Primary Mortgage banks.

He said: “In terms of supervision, the Corporation in collaboration with the CBN adopted a risk-based approach to ensure that the monitoring of financial institutions provides a more nuanced assessment of the activities of the financial institutions based on certain risk indicators. This ensures that any potential threats can proactively be flagged and appropriate regulatory/supervisory action taken.

“The Corporation, in 2022 deployed the Single Customer View (SCV) reporting template to Microfinance and Primary Mortgage banks, in order to address challenges of delays in the payment of their depositors in the event of their failure and liquidation.”