NDIC Assures Protection for Depositors of Revoked MFBs

Mr. Thompson Oludare, the Managing Director/Chief Executive Officer of the Nigeria Deposit Insurance Corporation (NDIC), assured depositors of 46 microfinance banks (MFBs) whose licenses were revoked by the Central Bank of Nigeria (CBN) on July 1, 2026, that they are protected under the deposit insurance framework. Oludare stated that the NDIC is currently processing payments for the guaranteed portion of these deposits, although a final figure for the number of depositors paid cannot yet be provided as new beneficiaries are continuously being identified.

The NDIC is utilizing Bank Verification Numbers (BVNs) in collaboration with the Nigeria Inter-Bank Settlement System (NIBSS) to locate affected depositors' alternative accounts for direct payments, eliminating the need for physical verification. Oludare emphasized that the deposit insurance system aims to ensure that customers are protected during financial institution failures.

He expressed the expectation that deposit insurance should be widespread, assuring depositors of their coverage by the NDIC.