NDIC pledges to insure fintech depositors to enhance financial inclusion

The Nigeria Deposit Insurance Corporation (NDIC) says it will protect depositors from dangers that can arise in fintech solutions.

The managing Director, NDIC, Umaru Ibrahim, made this known during a workshop organised for members of finance correspondents association of Nigeria (FICAN) in Kaduna. In attendance at the workshop were facilitators who deliberated on theme, “COVID-19 & Fintech Description: Opportunities for System Stability and Deposit insurance.

Ibrahim said he believes fintech solutions will motivate improvement in financial inclusion in Nigeria.

He said: “The emergence of fintech is relatively new in this environment and the Central Bank of Nigeria has produced a policy guideline for the registration, licensing and supervision of fintechs.

“We are also involved in that and we also partner with other regulatory authorities such as Securities and Exchange Commission and well as the NCC.

“That is because each and every one of us has a role to play in the licensing and supervision and regulation of fintech. We would continue to develop and improve your knowledge and skills so that you are up to date in what is happening globally and locally in terms of financial system so that you can help disseminate information and educate the generality of the public so that the public remains aware and protected,” he stated.

He continued: “There are a lot of issues around consumer protections. As you know even, without the emergence of complicated products and services and channels of financial intermediation such biotech, even to day-to-day ordinary transactions between customers and banks.”

He added that over time, the corporation had received numerous complains and that has urged them to further enhance their understanding about fintech sector.

“We do have hundreds if not thousands of complaints every now and then, either about ATM- related frauds or PoS-related frauds or excessive bank charges or excessive interest charges, e.t.c.

“Almost on regular bases bank customers either are genuine, others may not be so genuinely. So all of us have a responsibility to continue to sensitive and educate the millions of ordinary depositors of this country.

“So that we can enhance and step up depositor protection awareness programmes and also continue to support the emergence of a more stable and prosperous banking systems. Without confidence of depositors and confidence of the customers there will be no banking system.”

He urged the entire member of NDIC and FICAN to help management of financial system risks required for collaborating financial system stability.


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