NDIC Raises PMBs’ Deposit Insurance

The Nigeria Deposit Insur
ance Corporation (NDIC), has raised the maximum  deposit insurance  coverage per depositor for Primary Mortgage Banks (PMBs) from N200,000 to N500,000.
This was released on the NDIC website on Monday and obtained  by  The Tide  correspondent.
The corporation said the increment followed the approval  granted the corporation by the Minister of Finance, Mrs Kemi Adeosun,  recently.
The NDIC advised all the  Deposit   Money Banks (DMBS), PMBs and  Micro Finance Bank (MFBs) to  strictly comply to the CBN approved  code of corporate government  standards  and sound risk  management practices.
The NDIC statement  said that the monetary  policy review is carried out through studies and  surveys  and are aimed  at ascertaining  the adequacy or otherwise of the deposit insurance coverage level for insured  institutions in Nigeria.
The corporation said that the outcome of the recent survey  conduct in August 2015 revealed the compelling need for  the upward review of the current NDIC rate for the PMBs.
The statement   emphasized that  NDIC board is empowered to  periodically review the maximum deposit insurance coverage for licensed banks and other deposit  taking financial institutions in accordance  with changes in deposit structure, income  levels   and in line with global best  practices”.