The 2025 Stakeholders Workshop of the House Committee on Insurance and Actuarial Matters With the NDIC
The Chairman, House Committee on Insurance & Actuarial Matters
Deputy Chairman
Honourable Members
The Executive Director, Operations, NDIC
Executive and Senior Staff of NDIC present
Secretariat of the Committee
Gentlemen of the Press
Distinguished Ladies and gentlemen
1. I am pleased and honoured to welcome the Chairman and Honourable Members of the House Committee on Insurance & Actuarial Matters, of the Federal House of Representatives to this auspicious Retreat, with the theme “Navigating Financial Disruptions: Strengthening the NDIC’s Mandate for Economic Stability”. This theme is apt and the retreat could not have come at a better time than now, considering the Federal Government’s determination towards achieving sustainable growth by strengthening the financial system and ensuring its stability, amid emerging and ongoing disruptions in the financial system.
2. Financial disruptions are events or situations that have the capacity to change the way things are done and are always associated with opportunities and challenges. Key contributors to these disruptions include digital innovations, poor governance, market volatility, economic shocks, inadequate risk management, cybersecurity risk, and the proliferation of Ponzi schemes, amongst others. If the challenges are not addressed in a timely and effective manner, they can erode public and investors’ confidence with the attendant consequences on financial system stability. To deal with the challenges associated with financial disruption effectively, banks need a multifaceted strategy that blends resilience, innovation, and culture of compliance with regulations.
Honourable members of the House Committee on Insurance and Actuarial Matters and Executive Management of the Nigeria Deposit Insurance Corporation (NDIC) in a group photo at the 2025 Stakeholders Workshop of the House Committee with the theme “Navigating Financial Disruptions: Strengthening the NDIC’s Mandate for Economic Stability” held in Lagos.
3. Mr Chairman, at the NDIC, we recognise the strategic importance of the National Assembly, as one of the critical stakeholders and duly appreciate the positive contributions and support the Corporation has been enjoying form this Committee in particular. The unflinching support we enjoyed from the Committee and the harmonious working relationship between ourselves, has strengthened our ability to discharge our mandates. This retreat, once again, provides a valuable platform to assess current opportunities and challenges, share insights and develop strategies that would further enhance the achievements of the NDIC’s mandates.
4. Honourable Chairman and Honourable members of the Committee, as you are aware, we commenced the liquidation of the defunct Heritage Bank last year, following the revocation of its banking license by the Central Bank of Nigeria. The payment of the insured sum was prompt in line with best practice. Furthermore, we have made significant progress in the disposal of the physical assets of the defunct bank, and we are pleased to announce that, the first tranche of liquidation dividend of 9.2 kobo per naira, will be paid to uninsured depositors of the defunct bank before the end of April 2025. We have also re-strategized on aggressive debt recovery, to ensure that we recover outstanding debts owed to the defunct bank, to pay the balance of un-insured depositors and other claimants, in the order of priority, as provided in Section 72 of the NDIC Act of 2023.
Chairman, House Committee on Insurance and Actuarial Matters, Hon Ahmadu Usman Jaha (middle) and MD/CE Nigeria Deposit Insurance Corporation, Mr Bello Hassan (2nd Left) pose for a photo with Hon Rasheed Abdullahi (1st Left) Hon. James Barka and NDIC Executive Director, Operations Mustapha M. Ibrahim (2nd and 1st Right) at the 2025 Stakeholders Workshop of the House Committee On Insurance and Actuarial Matters with the Nigeria Deposit Insurance Corporation held in Lagos.
5. The NDIC also recognises that consumer protection and the preservation of public confidence in the financial system are not only critical to our mandates, but also the foundation to the continued resilience and credibility of the Nigerian banking sector. The growing incidence of Ponzi schemes and so-called “wonder banks” as witnessed by the recent crash of the CBEX pyramid scheme, which resulted in an estimated loss of ₦1.3 trillion have implications for public confidence in the financial system. The Corporation remained committed to protecting the public from such fraudulent schemes by implementing comprehensive public awareness campaigns, that educate people about the risk of engaging with unlicensed financial institutions. These campaigns have been executed through radio and television announcements, town hall meetings, academic excursions to the Corporation, and the commemoration of key initiatives such as Financial Literacy Day and World Savings Day
6. Furthermore, the Corporation also ensures that the list of licensed insured deposit taking institutions, is regularly updated and published on our website, enabling members of the public to easily verify the status of licensed deposit taking institutions covered by the NDIC. In addition, we leverage on our various social media platforms, to further educate the public and disseminate timely information about the risks associated with unregulated financial institutions.
7. On this note, Mr Chairman and Honourable Members, I would like to thank you for honouring our invitation and to also state categorically, that we always cherish and appreciate your invaluable guidance and input, as we partner to protect the interest of depositors. It is our strong belief, that your constructive engagement guided by your vast experiences, will result in further empowering the Corporation in the discharge of its mandates more effectively. At this juncture, I wish you fruitful deliberations and constructive engagement as we share information and respond to your inquiries on the operations of the NDIC.
8. Once again, I welcome you all and thank you for your kind attention.
Bello Hassan, OON, FCA, FCIB
MD/CE, NDIC