The Nigeria Deposit Insurance Corporation (NDIC) has increased the maximum deposit insurance coverage for Deposit Money Banks (DMBs) from N500,000 to N5,000,000 and would provide full coverage of 98.98 per cent of the total depositors compared with the current cover of 89.20 per cent
This was announced on Thursday by the Managing Director/Chief Executive of the NDIC Mr. Bello Hassan during a press briefing in Abuja.
According to him, in terms of the value of deposit covered, the revised coverage would increase the value of deposits covered by deposit insurance to 25.37 per cent compared with the current cover of 6.31 per cent of total value of deposits.
The NDIC also increased the maximum deposit insurance coverage for Microfinance Banks (MFBs) from N200,000 to N2,000,000, and would provide full coverage of 99.27 per cent of the total depositors compared with the current level of 98.76 per cent and would increase the value of deposits covered by deposit insurance to 34.43 per cent compared with 14.38 per cent of total value of deposit, currently covered.
For the Primary Mortgage Banks (PMBs), the NDIC increased the maximum deposit insurance coverage from N500,000 to N2,000,000, would provide full coverage of 99.34 per cent of the total depositors compared with the current 97.98 per cent and would increase the value of deposits covered by deposit insurance to 21.04 per cent compared with 10.77 per cent of total value of deposit, currently covered.
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