NDIC TAKES OVER 46 DELICENSED MICROFINANCE BANKS

The Nigeria Deposit Insurance Corporation (NDIC) has taken over the assets and responsibilities of 46 delicensed microfinance banks following regulatory actions that led to the withdrawal of their operating licences.

The corporation said the move is part of its statutory mandate to protect depositors and ensure an orderly resolution process for failed financial institutions.

According to NDIC, the affected microfinance banks were closed after failing to meet regulatory requirements and operational standards set by financial authorities.

The agency noted that efforts are underway to verify depositors’ records and facilitate the payment of insured deposits to eligible customers.

NDIC assured the public that the takeover process is designed to minimise disruptions and maintain confidence in the financial system.

The corporation also urged depositors of the affected institutions to cooperate with verification procedures and provide the necessary documentation required for claims processing.

Financial analysts say the development highlights the importance of strong corporate governance, prudent risk management, and regulatory compliance within the microfinance banking sector.

They added that effective supervision remains essential to protecting customers and maintaining stability in the broader financial system.

NDIC reaffirmed its commitment to safeguarding depositors’ interests and ensuring that the resolution process is carried out in accordance with existing laws and regulations.