The Nigeria Deposit Insurance Corporation (NDIC) has warned Nigerians to avoid investment offers with quick and arbitrarily high returns.
Managing Director/ Chief Executive Officer of NDIC, Mr. Bello Hassan gave the warning on the occasion of the Corporation’s special day at the 34th Enugu International Trade Fair, 2023.
He said that depositors are to ensure their phones have strong password and do not share their bank mobile app password with third parties.
Mr. Hassan however, urged Nigerians to ensure no one is watching when they enter their PIN to perform transactions, adding that depositors should ensure their token is secure and other parties do not have access to it; and ensure their debit card number and CVV are not exposed to people.
“However, as the unscrupulous elements get more and more creative in their ignoble acts, the NDIC and other regulatory bodies device more ingenious approaches to tackling their menace,” he said.
Speaking on the Corporation special day, he said it is a day set aside to showcase the mandate and activities of the NDIC.
“Particularly our contributions to the stability of the country’s financial system, to the Executives and Members of the Enugu Chamber of Commerce, Industry Mines and Agriculture, the array of distinguished guests, as well as exhibitors and visitors to this year’s trade fair, underscores the significance of this event to us.
“The fair’s theme “Harnessing Nigerian Human Capital Resources for Global Economic Advancement” speaks volumes about how your programs and vision match with the government’s priorities in this regard,” he said.
According to him, the Corporation adopted participation in the Enugu International Trade Fair over the years, as 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. 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.
“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.
“It is pertinent for the Corporation to continue to sensitize the public on their expected roles towards protecting their bank deposits.
”Also for us in NDIC, it is instructive to note the strong relationship between our mandate and the theme of this year’s fair. By discharging our public policy objectives of protecting depositors in the event of bank failures and further offering a measure of safety for the banking system, thereby creating an enabling environment for the financial system to appropriately support the economic advancement of our great nation,” he added.
The NDIC boss however, said that the four broad mandates of the Corporation are Deposit Guaranty, Banking Supervision, Failure Resolution and Bank Liquidation.
It is worthy to note that the Corporation has been successfully and efficiently discharging its mandates from inception till date, living up to its public policy objectives and contributing to financial system stability.
Mr. Hassan stated that in the aspect of Deposit Guaranty, NDIC has been highly responsive in providing coverage to all eligible deposits and accounts as they evolve in our banking system.
“Apart from depositors of Deposit Money Banks (DMBs), Primary Mortgage Banks (PMBs) and Microfinance Banks (MFBs), the Corporation has also been responsive by extending deposit insurance coverage to depositors of Non-Interest Banks (NIBs), subscribers of Mobile Money Operators (MMOs) and the recently introduced Payment Service Banks (PSBs).
“Depositors of DMBs, PMBs, PSBs and subscribers of MMOs are insured up to maximum limit of N500, 000.00 per depositor per bank while those of MFBs are guaranteed up to a maximum limit of N200, 000.00 per depositor per bank,” he said.
