NDIC reassures depositors, warns against ponzi schemes at Kano International Trade Fair

Nigeria Deposit Insurance Corporation (NDIC)

Thompson Oludare Sunday, managing director, Nigeria Deposit Insurance Corporation (NDIC), has reaffirmed the Corporation’s commitment to protecting depositors and strengthening financial system stability in Nigeria.

Sunday said this Wednesday, in his address during the NDIC Special Day at the 46th Kano International Trade Fair, themed “Empowering SMEs for Sustainable Development.”

He commended the Kano Chamber of Commerce, Industry, Mines and Agriculture for consistently organising a trade fair that drives innovation, business networking, financial education, and investment growth across the region.

Highlighting NDIC’s 37 years of operations, he said the Corporation has remained central to safeguarding depositors—particularly low-income customers—while collaborating with the Central Bank of Nigeria (CBN) to ensure bank stability, regulatory compliance, and effective oversight.

He disclosed that the Corporation has enhanced depositor protection through increased maximum insurance coverage. Depositors of Deposit Money Banks (DMBs), Mobile Money Operators (MMOs) and Non-Interest Banks (NIBs) are now insured up to ₦5 million, while those in Payment Service Banks (PSBs), Microfinance Banks (MFBs) and Primary Mortgage Banks (PMBs) enjoy coverage of up to ₦2 million.

According to him, this expanded coverage now protects about 99 percent of depositors nationwide. In the event of a bank failure, he said customers would receive an initial insured amount, while remaining balances are paid through liquidation dividends on a pro-rata basis.

The Managing Director stressed the importance of linking Bank Verification Numbers (BVNs) correctly with official identity documents to ensure seamless payment of insured deposits into alternate bank accounts without the need to visit NDIC offices.

He also assured Nigerians that both NDIC and the CBN have strengthened regulatory frameworks to maintain stability across traditional banks and emerging financial technology institutions.

Read also: NDIC strengthens partnership with NIESV on failed bank asset valuation

With the March 2026 bank recapitalisation deadline approaching, he said the Corporation is fully prepared to support a smooth process and intervene when necessary to protect public confidence.

The NDIC boss urged Nigerians to remain cautious of Ponzi schemes and fraudulent investment platforms, warning that only institutions licensed by the CBN are covered by deposit insurance. He encouraged visitors to stop by the NDIC pavilion at the fair for more information on deposit protection.

Sunday thanked the leadership of the Kano Chamber of Commerce, royal dignitaries, guests and the media for their participation and wished attendees a successful fair. The 46th Kano International Trade Fair continues to attract stakeholders from across industries, with a focus on supporting small and medium enterprises for sustainable economic growth.

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