The Nigeria Deposit Insurance Corporation (NDIC) has called on members of the Senate Committee on Banking, Insurance, and Other Financial Institutions to support legislative measures aimed at building the Nigerian resilient financial systems.
Managing Director (MD) and Chief Executive of the NDIC, Mr. Bello Hassan, made this appeal during the recent NDIC’s retreat held at Eko Hotel & Suites, Lagos, themed: ‘Building Resilient Financial Systems through Effective Legislative Intervention.’
In his keynote address during the event, Mr. Hassan emphasised the essential role of a robust legal framework in stabilising the financial system, particularly amid recent global financial shifts.
“The financial system’s role in supporting growth and development further highlights the need for an effective regulatory structure to ensure stability,” he stated.
He pointed out that a dependable legal framework is crucial to maintaining confidence in financial markets and fostering efficient capital flow.
Highlighting recent advancements in the financial sector due to technological innovations, Mr. Hassan also noted the increased complexity and risks within the system.
He stressed the need for collaborative efforts between regulators and the legislature to protect consumers, support growth, and keep pace with evolving financial technologies.
“The legislature must be determined to redesign the legal framework that supports financial advancement while promoting innovation and consumer protection,” Mr. Hassan stated, expressing optimism about the ongoing partnership with the Senate.
Mr. Hassan also reviewed the NDIC’s initiatives to protect depositors, including an increase in maximum deposit insurance coverage and the development of depositor tracing and Single Customer View (SCV) frameworks. According to him, these steps aim to expedite depositor reimbursements in the event of financial institution failures.
In a bid to further enhance confidence in the financial system, Mr. Hassan revealed that the corporation has strengthened public awareness programs around deposit insurance benefits and limitations and intensified efforts in debt recovery, which have led to the declaration of full liquidation dividends for depositors of over 20 banks.
Mr. Hassan pressed the committee members to participate actively in discussions and share insights. He expressed gratitude for the senators’ longstanding support in promoting a secure and stable financial system in Nigeria.
