The Nigeria Deposit Insurance Corporation (NDIC) has said that the new Central Bank of Nigeria (CBN) policy, which pegs the minimum capital for commercial banks at N500 billion, is in line with current global economic dynamics.
 
Commercial banks under the new arrangement would be required to maintain minimum capital levels of N500 billion, N200 billion and N50 billion for international, national and regional institutions respectively, as well as N50 billion for merchant banks. National and regional non-interest banks are also required to maintain N20 billion and N10 billion respectively.
 
Speaking during the special day of the corporation at the ongoing 35th Enugu International Trade Fair, the Managing Director and Chief Executive of NDIC, Bello Hassan, said the strategic recapitalisation initiative is in line with the President Bola Ahmed Tinubu administration’s urge to grow Nigeria’s economy to the ranks of $1 trillion base economies. 
 
He noted that the initiative would not only strengthen the banking system but would also enhance the sector’s ability to withstand financial shocks, adding that the NDIC would continue to collaborate with the CBN in ensuring a seamless transition while safeguarding depositors interest.
 
“The NDIC plays a pivotal role in protecting depositors and contributing to the stability of the financial system and ensures the adoption of secured and prudent banking practices. 
 
“Consequently, the NDIC instills public confidence by way of assurances to depositors that their funds will remain secure and accessible in the unfortunate event of a bank failure,” Hassan said.
 
On his part, the President of Enugu Chamber of Commerce, Mines and Agriculture (ECCIMA) Odeiga Jideonwo, said that efforts should be made to ensure that the effect of the new CBN policies does not create unnecessary panic and pressure on depositors and the entire citizenry.
 
“In this wise, permit me to commend CBN and of course NDIC, as key players in the financial sector, for the effort towards stability and near tranquility in the banking/financial sector through their regulatory frameworks, despite the current challenges being experienced in Nigerian economic cycle, which we are sure will soon be a thing of the past,” he said.