Finance Minister urges NDIC Board to enhance financial system stability

The Minister of Finance, Budget and National Planning, Mrs Zainab Ahmed has cautioned the Board of Directors of the Nigeria Deposit Insurance Corporation (NDIC) that a lot is being expected from them in terms of contributions to the stability of the Nigeria Financial System.

Mrs Ahmed who stated this Monday at the formal inauguration of the Board in Abuja reiterated that the event was of great importance to the NDIC and its stakeholders considering the critical role of the Board in a strategic institution like the Corporation.

She said the Board is “assuming duty at a time when the Nigerian Financial System is still facing some challenges and requires efforts aimed at addressing issues such as corporate governance, high level of non-performing loans and slide in revenue generation. The potential benefits and risks associated with the Financial Technology (Fintech) and block chain technology are also on the front burner”.

Mrs Ahmed pointed out that these and other challenges can cause threats to the “stability of our financial system and must be addressed promptly for the sector to play its role in facilitating the implementation of the National Development Plan 2021 to 2025”.

She therefore charged the Board to design policies and programmes with the Management team to enable the Corporation deliver on its mandate.

Mrs Ahmed reiterated that the NDIC had since its establishment over three decades ago, remained committed to ensuring the discharge of its mandate as the Corporation has over the years performed creditably well.

“Furthermore, the Corporation has been consistent in remitting its 80 per cent operating surplus to the Consolidated Revenue Fund (CRF) of the government among many other milestones achieved”, Mrs Ahmed stated.

In his response, NDIC Chairman Abdulhakeem Mobolaji Abdulateef pledged the resolve of the Board to work very closely with the management in achieving set goals, noting that they do not need to do anybody’s job because they already have so much to do.

He assured the Board understands its mandate of supporting the Corporation to safeguard deposit guarantee, bank supervision, distress resolution as well as bank liquidation stressing that “We pray to do our best in line with the interest of the incoming administration to take it from where you have stopped”.