The Nigeria Deposit Insurance Corporation (NDIC) has announced that it will pay a 100% liquidation dividend to depositors of 20 previously failed banks, marking a major milestone in the agency’s commitment to financial stability and depositor protection.
This announcement was made during the NDIC’s Special Day at the 36th Enugu International Trade Fair by the Managing Director/Chief Executive, Mr. Bello Hassan, who was represented by the South-East Zonal Coordinator, Pamela Robert.
Robert disclosed that preparations have begun for the payment of the first tranche of liquidation dividends, which will commence in April 2025.
She emphasized that the NDIC, in line with its statutory mandate, is responsible for liquidating failed banks, reimbursing insured depositors, recovering debts, and disposing of assets to ensure payments to depositors and other claimants.
“For over three decades, the NDIC has played a vital role in safeguarding depositors and fortifying the financial system. Our primary responsibilities include deposit insurance, supervision of financial institutions, resolution of failing banks, and managing liquidations,” Robert stated.
She reaffirmed the Corporation’s mission to promote financial inclusion and public confidence in the banking system, noting that the NDIC works in close collaboration with the Central Bank of Nigeria (CBN) to maintain sectoral stability and enforce banking regulations.
A notable example of NDIC’s responsiveness, she said, was the revocation of Heritage Bank’s license by the CBN on June 3, 2024. The NDIC immediately initiated the liquidation process, including verification and prompt payment of insured deposits of up to ₦5 million per depositor within four days.
“Most depositors have already received their insured funds through alternate bank accounts linked via Bank Verification Numbers (BVN),” she explained. “Those yet to be paid are largely individuals without BVNs, with restricted accounts, or with Know-Your-Customer (KYC) issues such as mismatched names or Tier 1 limitations.”
Robert encouraged affected depositors to visit the NDIC’s website, contact the Corporation via email or social media, or visit any of its zonal offices with relevant documentation to facilitate payment.
She reiterated that insured depositors receive up to ₦5 million, while balances exceeding that amount—classified as uninsured deposits—are reimbursed as liquidation dividends when sufficient assets and loan recoveries are made.
“We have successfully declared 100% liquidation dividends to depositors of 20 failed banks. This achievement reflects our proven ability to effectively manage bank closures and fulfill our mandate,” she said.
On the ongoing liquidation of Heritage Bank, she noted that the NDIC has made significant progress in asset sales and debt recovery.
“We are confident in our financial and operational capacity to reimburse all verified depositors. Our phased approach ensures that as we recover more assets, additional tranches of liquidation dividends will follow,” Robert assured.
She urged all affected depositors to engage with the NDIC to claim their entitlements.
