NDIC Urges MSMEs, others to Save with Formal Banking Systems
The Nigerian Deposit Insurance Corporation (NDIC) has urged Medium, small and micro enterprises (MSMEs) and other Nigerians saving their money with formal banking systems as they remain the safest place to save and the only way the corporation can protect bank deposits.
The Corporation also said that such deposits enjoy the benefit of effective regulation and supervision and take people’s hard-earned money beyond the ambit of illegal fund managers and loan sharks that currently awash the investment landscape.
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.
The NDIC boss said that the theme of r this year’s fair: ‘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 align with the government’s roadmap.
According to him, NDIC 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 noted 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.”
