The Nigeria Deposit Insurance Corporation (NDIC) has lauded the Central Bank of Nigeria (CBN) for its move to recapitalise banks to achieve economic resilience in the country.
The Managing Director of NDIC, Bello Hassan, made the commendation on Friday during the NDIC Special Day at the ongoing 35th Enugu International Trade Fair.
The News Agency of Nigeria (NAN) reports that the fair, which began on 5 April, is themed: ‘Promoting made-in-Nigeria products for global competitiveness’.
Mr Hassan pledged that the NDIC would continue to collaborate with the central bank in ensuring a seamless transition while safeguarding depositors’ interest.
According to him, in the light of the ongoing global economic dynamics, the CBN has stepped up regulatory efforts to ensure the resilience and stability of the Nigerian banking sector.
The managing director said that significant stride in this direction remained the recent revision and pegging of higher minimum capital requirements for banks operating in Nigeria.
“Under this proposal, commercial banks would be required to maintain minimum capital levels of N500 billion, N200 billion, and N50 billion for international, national, and regional institutions.
“As well as N50 billion for merchant banks, while national and regional non-interest banks are required to maintain N20 billion and N10 billion respectively.
“This strategic recapitalisation initiative is in line with President Bola Tinubu’s administration urge to grow Nigeria’s economy to the ranks of $1 trillion base economies.
“This will not only strengthen the banking system but would also enhance the sector’s ability to withstand financial shocks,” he said.
Mr Hassan revealed that since the CBN revoked the licences of 179 Microfinance Banks and four Primary Mortgage Banks in 2023, the NDIC had continued to efficiently disburse insured sums to verified depositors of these closed institutions.
He noted that depositors, who have undergone verification and have provided alternative account details, had received their payments seamlessly within a record period of five working days.
“While it is worth noting that depositors with amounts exceeding the insured limit will receive liquidation dividends once debts are recovered and assets of the closed banks are disposed.
