The Managing Director and Chief Executive Officer of Nigeria Deposit Insurance Corporation (NDIC), Bello Hassan, has underscored the need for collaboration with relevant stakeholders towards maintaining financial system stability.
During the workshop for Business Editors and Finance Correspondents held in Owerri, Imo State, Hassan noted that the desire to strengthen banks through prudential thresholds and other regulatory instruments, necessitated the calls for collaboration with all relevant stakeholders in the Nigerian financial system.
In his words , “As you are aware, the Deposit Insurance System, as a critical component of the financial safety net, has continued to play critical roles in complementing the drive of the Central Bank of Nigeria (CBN), in promoting stability in the financial system.
“This becomes more significant for the NDIC with a broad mandate of Risk Minimizer. As expected, the Deposit Insurer has always been impacted by the challenges that confront the financial system at various times. Though some of the challenges are universal, others are however, unique.
“Please permit me to recall that at my maiden FICAN Workshop outing at Ibadan on 20th October 2021, I underscored the determination of the current Management of the NDIC to work harmoniously with all stakeholders, particularly the fourth estate of the realm, towards a more effective discharge of the Corporation’s mandate.
“I also laid out the key focus of the Management Team under my humble leadership: to scale up the deposit insurance framework; provide timely support to insured institutions as and when required; ensure faster and orderly resolutions of liquidated insured institutions; as well as assist the monetary authority in promoting the stability of the banking system.”
The NDIC boss said his administration launched the 2021 – 2025 Strategic Plan, which is in line with the vision of being among the best deposit Insurers in the world, to achieve its set objectives.
According to Hassan, the strategic plan was formulated in consideration of current realities and trends, as well as the desire to differentiate the Corporation by providing excellent and efficient services to stakeholders across board.
“I am glad to report that our commitment in this regard has not gone without yielding the desired results. We have introduced the Single Customer View (SCV) framework that has enhanced speedy payment of insured sums to depositors of closed banks…
“We have enhanced collaboration with the bar and the bench, leading to speedy dispensation of justice and more informed judgements on failed banks cases…
“We have equally put in place policy and framework on Alternative Dispute Resolution for out-of-court settlement, which had enabled us to resolve some hitherto protracted failed bank litigations…
“We have reviewed the Framework for Differential Premium Assessment System (DPAS) to make it more risk sensitive and account for significant developments that have taken place in the Nigerian banking system since its adoption in 2008…
“And we have established a special desk at the Economic and Financial Crimes Commission (EFCC) which has energized investigation and prosecution of parties responsible for failure of banks.
“The Corporation has also reached an advanced stage in the review of the maximum deposit insurance coverage, to account for the impact of macroeconomic developments, since its last review.
“It is our belief that the new coverage level once approved will go a long way in reinforcing depositors’ confidence on the NDIC’s deposit guarantee scheme.
“In complementing the consumer protection efforts of the CBN, we have enhanced public awareness on the benefits and limitations of the deposit insurance system and financial literacy, to reduce the rate at which small depositors are being defrauded, thereby enhancing confidence in the banking system…
“We have invigorated our liquidation activities, and greatly increased debt recovery rate leading to declaration of 100 per cent liquidation dividends to depositors of over 20 deposit money banks inliquidation…
“And we have also improved our systems, processes and procedures to promote transparency and accountability in our operations, amongst other humble achievements.” Hassan said.
Under Hassan leadership, the Corporation has been identified for various special recognitions and awards amongst the comity of Ministries, Departments and Agencies (MDAs) by credible bodies and institutions including;
Year 2021 and 2023 Overall Best Public Institution among 360 MDAs in the Independent Corrupt Practices and Other Related Offences Commission’s (ICPC) Ethics and Integrity Compliance Scorecard (EICS);
First Position in the 2021 Transparency & Integrity Index, a public sector assessment by the Center for Fiscal Transparency & Integrity Watch (CeFTIW), a non-governmental and non-partisan organization established in 2016 and supported by the MacArthur Foundation with the aim of promoting accountability and transparency within the public sector;
Platinum Award in 2022 by the Bureau of Public Service Reform (BPSR) after the deployment of its Self-Assessment Tool (SAT) to Federal public institutions to assess the broad areas of governance, financial management, strategic planning, operational leadership, procurement management, etc.
Attainment of three ISO Certifications in 2023, through MSECB, a leading international provider of Audit and Certification Services, namely: Information Security Management System ISO/IEC 27001:2013, IT Service Management System ISO/IEC 20000-1:2011, and Business Continuity Management System, ISO 22301…
2023 Best Performing Ministerial Servicom Unit (MSU) in the Team “C” Category for Ministries, Departments and Agencies (MDAs) by the SERVICOM Office of the Presidency…
2022 Best Contributing Employer in Human Resources Development by the Industrial Training Fund (ITF). Election of the Managing Director/Chief Executive of the Corporation into the Executive Council (EXCO) of the International Association of Deposit Insurers (IADI) in October 2022; and…
Election of the Managing Director/Chief Executive of the Corporation as the Vice-Chairperson of the IADI-Africa Regional Committee in September 2023.
According to Hassan, these awards and recognitions bear eloquent testimonies to the irrevocable commitment of the current Management Team of the NDIC and the staff, to bringing about a paradigm shift in the discharge of the Corporation’s mandate.
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