Stakeholders call for amendment of NDIC Act at public hearing

Stakeholders in the public and private financial services sector have said the current Nigerian Deposit Insurance Corporation NDIC, Act 2006 is no longer fit to cater to the economic and technological growth in the country since its creation in 1988.

The stakeholders at a public hearing by the Senate Committee on Banking, Insurance and Other Financial Institutions, called for an amendment of the Act to strengthen its powers to efficiently contribute to the stability of Nigeria’s financial systems.

In a press statement signed by the Director, Communication & Public Affairs Department of the NDIC, Bashir A. Nuhu, the stakeholders said amending the Act will enable the institution efficiently contribute to the stability of Nigeria’s financial systems.

Bello Hassan, the Managing Director, NDIC, while addressing the committee at the hearing, warned that the re-enactment of the Act of 2006 was necessary to ensure the agency’s compliance with best practices.

Hassan thanked the Senate for studying the Act and identifying gaps in its framework and bringing the re-enactment Bill to the legislative public hearing. Sponsor of the bill, Chairman, Committee on Banking, Insurance and Other Financial Institutions, Uba Sani advised that the changes in the global financial system have made it necessary to strengthen the powers of the NDIC by amending the bill before the senate.

He assured that inputs gathered through the public hearing and submissions already received from stakeholders would be given serious consideration as the bill aims to make NDIC autonomous.

Meanwhile, the Senate President, Ahmed Lawan said the Senate was more interested in examining all sides relating to the Act before its passage, noting that ”the new realities to which the NDIC was exposed to, necessitated the call for amendment”.

The Central Bank Governor, Godwin Emefiele on his part said the Apex bank did not have any hesitation to the passage of the bill, having taken a critical look at the document.

Stakeholders at the public hearing include the Nigerian Financial Intelligence Unit (NFIU), National Insurance Commission (NAICOM), Association of National Accountants of Nigeria (ANAN), Corporate Affairs Commission (CAC), Economic and Financial Crimes Commission (EFCC), Trade Union Congress of Nigeria (TUCN), Assets Management Corporation of Nigeria (AMCON), Chartered Institute of Bankers of Nigeria (CIBN) on behalf of the banking industry and body of bank CEOs and National Association of Microfinance Banks amongst others.