NDIC Pays ₦3.31bn to 6,422 Depositors of Defunct Banks in H1’25
The Nigeria Deposit Insurance Corporation (NDIC) has delivered a significant financial reprieve to thousands of Nigerians, confirming the payment of ₦3.31 billion to insured depositors of defunct banks in the first half of 2025 (H1’25).
This latest payout underscores the corporation's commitment to protecting the interests of small savers and maintaining stability within the nation’s financial system.
Restoring Confidence in the System
According to the report, a total of 6,422 depositors benefited from the payments during the review period. These funds were disbursed to customers of various closed financial institutions, including Microfinance Banks (MFBs) and Primary Mortgage Banks (PMBs), whose licenses had been revoked by the Central Bank of Nigeria (CBN).
The NDIC’s Managing Director, Bello Hassan, has repeatedly emphasized that the prompt payment of insured sums is the corporation’s primary mandate. By ensuring that depositors recover their funds quickly, the NDIC aims to minimize the shock associated with bank failures and prevent panic withdrawals in the broader economy.
Beyond the Insured Limit
While the ₦3.31 billion covers insured deposits, the NDIC is also making strides in paying "liquidation dividends." This involves recovering assets from the defunct banks such as selling physical properties and recovering bad loans to pay depositors amounts exceeding the maximum insured limit.
This proactive approach is vital for the business community. Many of the affected depositors are small business owners who rely on these funds for operations. The release of this capital back into the economy provides a much-needed liquidity boost.
Economic Context
This development comes at a time of significant economic activity. While the NDIC stabilizes the banking sector, the Federal Government is also pushing for broader growth. Just recently, the FG announced new tax incentives to boost manufacturing, aiming to create a more robust environment for businesses to thrive alongside a secure banking system.
Furthermore, the education sector is seeing reforms with the scrapping of the HND/BSc dichotomy, ensuring that the workforce is ready to meet modern challenges.
What’s Next?
The NDIC has urged depositors who are yet to come forward to file their claims. Verification exercises are ongoing across various zones to ensuring no valid depositor is left unpaid.
Stay tuned to Naijarave.com for updates on further liquidation dividends and banking sector news.
