The Nigeria Deposit Insurance Corporation (NDIC) has urged Nigerians to avoid Ponzi schemes and other fraudulent investment platforms, warning that only funds kept in Central Bank of Nigeria (CBN)-licensed financial institutions are insured and protected.
Speaking during the NDIC Special Day at the 20th Abuja International Trade Fair, the NDIC Managing Director, Mr. Thompson Sunday, represented by Mrs. Bimpe Akande, Director of Performance Management at the Corporation, emphasized the importance of financial vigilance.
“This vigilance is crucial to protecting your hard-earned savings,” Sunday said.
“For over three decades, the NDIC has played a vital role in safeguarding depositors’ funds, particularly the most vulnerable, and fortifying the financial system.”
Only CBN-Licensed Banks Are Covered
Sunday warned that funds placed in unlicensed platforms or non-bank entities are not covered by NDIC’s deposit insurance scheme, making them risky and unsecured. He reiterated that NDIC insures deposits in:
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Deposit Money Banks (DMBs)
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Mobile Money Operators (MMOs)
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Non-Interest Banks
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Payment Service Banks (PSBs)
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Microfinance Banks (MFBs)
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Primary Mortgage Banks (PMBs)
Insurance Coverage Limits
To enhance financial stability and confidence, NDIC recently increased deposit insurance coverage:
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Up to ₦5 million for depositors in DMBs, MMOs, and Non-Interest Banks
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Up to ₦2 million for depositors in PSBs, MFBs, and PMBs
This expanded coverage means that:
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98.98% of depositors in DMBs
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99.27% in MFBs
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99.34% in PMBs
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99.99% in PSBs
…are fully protected under the current framework.
Protecting the Financial System
Sunday reaffirmed NDIC’s commitment to protecting the banking public in collaboration with the CBN. Their joint efforts aim to enforce compliance, supervise insured institutions, and provide resolution options for distressed banks.
“Our mission, embodied in the tagline ‘Protecting your bank deposits,’ is to promote financial inclusion and reassure Nigerians of the safety of their savings,” he added.
NDIC’s Role in Economic Growth
President of the Abuja Chamber of Commerce and Industry (ACCI), Chief Emeka Obegolu, in his remarks at the event, praised NDIC for its contributions to Nigeria’s financial stability. Represented by Chief Agabaidu Jideani, the ACCI Director-General, Obegolu noted that NDIC’s work directly supports Small and Medium Enterprises (SMEs) and enhances access to financial services.
“NDIC provides the financial backbone needed for businesses to thrive, expand, and confidently participate in local and export markets,” he said.
He also commended the corporation’s digital innovations and consumer protection strategies, which he described as vital tools for building financial resilience in Nigeria’s evolving economy.
