NDIC Urges Nigerians to Save with Formal Banking Systems

Gideon Arinze in Enugu

The Nigerian Deposit Insurance Corporation (NDIC) has called on Nigerians to keep saving their money with formal banking systems because they remain the safest, smartest and most prudent place to save and the only way through which the corporation can protect bank deposits. 

The NDIC also said that such deposits enjoy the benefit of effective regulation and supervision of relevant authorities and take people’s hard-earned money beyond the ambit of illegal fund managers and loan sharks that currently awash the investment landscape and fleece unsuspecting members of the public.

The Managing Director of NDIC, Bello Hassan, made the call on Thursday during the Corporation’s Special Day at the 34th edition of the Enugu International Trade Fair.

Hassan said that the fair’s theme: ‘Harnessing Nigerian Human Capital Resources for Global Economic Advancement’ speaks volumes about how the Enugu Chamber of Commerce, Industry Mines and Agriculture’s programmes and vision match with the government’s priorities in this regard.

He explained that the corporation protects depositors through the discharge of its mandate in four critical ways namely: by guaranteeing deposits in banks; by supervising the banks in conjunction with the Central Bank of Nigeria (CBN) to ensure that they are run in safe and efficient manner in line with extant laws and regulations; by resolving issues of distress in banks to reduce instances of failure; and by ensuring orderly and efficient liquidation of failed banks to prevent disruptions to the payment system.

He explained that the corporation adopted participation in the Enugu International Trade Fair over the years, as a platform for continuous sensitization of depositors, and the general public on the existence of the Deposit Insurance Scheme (DIS), its advantages and its limitations. 

“This is significant to us as it will enhance public confidence in the financial system,” he said. “We want the general public to know, and reflect always, that their deposits are safe and that in the unusual event of a bank failure, a government agency, the NDIC is here to protect the depositors, especially the small savers.”