• Home
  • Photo News
  • News
    • NGO/CSO
    • Photo News
    • OrientalNews 7th Anniversary
    • Press Releases
    • World News
    • Nigeria News
    • Politics
    • Opinion
    • Sports
  • Interviews
  • SMEs
  • Law
    • Crime
  • Travel & Tours
    • Aviation
    • Tourism
  • Energy
    • Oil & Gas
    • Power
  • Business
    • Banking & Finance
      • Capital Market
      • Money Market
    • Pension
    • Insurance
    • Brands & Marketing
    • IT & Telecoms
    • Labour
    • Agriculture
    • Maritime
    • Property
    • Manufacturing
  • Regulators
    • Nigeria Bureu of Statistics
    • PENCOM
    • NAICOM
    • SEC
    • NSE
    • CBN
Facebook X (Twitter) Instagram
Thursday, June 19
  • About us
  • Terms of use
  • Privacy Policy
  • Disclaimer
  • Advertize here
  • Contact us
Facebook X (Twitter) Instagram
Oriental News Nigeria
  • Home
  • Photo News
  • News
    • NGO/CSO
    • Photo News
    • OrientalNews 7th Anniversary
    • Press Releases
    • World News
    • Nigeria News
    • Politics
    • Opinion
    • Sports
  • Interviews
  • SMEs
  • Law
    • Crime
  • Travel & Tours
    • Aviation
    • Tourism
  • Energy
    • Oil & Gas
    • Power
  • Business
    • Banking & Finance
      • Capital Market
      • Money Market
    • Pension
    • Insurance
    • Brands & Marketing
    • IT & Telecoms
    • Labour
    • Agriculture
    • Maritime
    • Property
    • Manufacturing
  • Regulators
    • Nigeria Bureu of Statistics
    • PENCOM
    • NAICOM
    • SEC
    • NSE
    • CBN
Oriental News Nigeria
Home»Banking & Finance»Money Market»We do Not Collect Subvention From FG-NDIC Replies Okereke-Onwyuike
Money Market

We do Not Collect Subvention From FG-NDIC Replies Okereke-Onwyuike

By orientalnewsngNovember 16, 2016No Comments3 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
Share
Facebook Twitter LinkedIn Pinterest Email

ndic

Nigeria Deposit Insurance Corporation yesterday said that it does not collect subvention from the federal government but rather remit part of its surplus into the consolidated revenue fund. The Corporation state this in a press statement issued yesterday in response to allegations that by a former Director-General, Nigeria Stock Exchange (NSE), that the corporation collects subvention from the federal government.

The Corporation stated: “Our attention has been drawn to remarks credited to erstwhile DG, NSE, Dr. Ndidi Okereke-Onyuike, which was published in many newspapers on Thursday, 10th November, 2016. Prof. Ndi Okereke-Onyiuke Prof. Ndi Okereke-Onyiuke “In her speech delivered during a book launch in Lagos,Dr. Okereke-Onwyuike called on the Federal Government to merge the Nigeria Deposit Insurance Corporation (NDIC) with Asset Management Corporation of Nigeria (AMCON)as their mandates were similar.

She further alleged that the NDIC relied on government subvention for its operational activities but lacked the capacity and efficiency to execute its mandate. “The unfortunate remarks were a glaring indication that the Ex-DG NSE clearly lacked adequate understanding of the roles of the NDIC in the Nigerian financial system, which had been widely acknowledged over the last 27 years. “The NDIC was established in 1988 and commenced operations in 1989 to administer Deposit Insurance System (DIS) in Nigeria.

The objectives of NDIC include Protection of Depositors, particularly small savers by providing an orderly means of reimbursement in the event of failure of an insured banking institution. The core mandates of NDIC include Deposit Guarantee, Bank Supervision, Failure Resolution and Bank Liquidation. “The Corporation also conducts supervision of the insured licenced banks in collaboration with the CBN to ascertain their financial conditions for the purpose of safeguarding depositors and contributing to financial system stability in the country.

“The failure resolution mandate of the Corporation allows it to extend Technical and Financial Assistance to eligible banks, assist in Purchase and Assumption (P&A) transactions, Deposit Transfer, Merger and Acquisition (M&A), Bridge Bank as done in 2011 in collaboration with the CBN to prevent monumental banking crisis in Nigeria and outright liquidation of failed institutions. It is also worth mentioning that through the bridge bank initiative, over three (3) million depositors and 6,600 jobs were saved. “It is also on record that the Corporation in collaboration with the CBN in 2009midwifed the establishment of Asset Management Corporation of Nigeria (AMCON).

AMCON was purposely set up to purchase toxic assets from the banking institutions and engage in debt recovery of such non-performing loans. The mandate of AMCON is quite different from that of the NDIC.

The NDIC sits on the Board of AMCON and contributes its technical knowledge, expertise and experience in distress resolution. “It should be noted that contrary to Mrs. Okereke-Onyuike’s assertion, the NDIC does not enjoy any government subventions. Its income is derived from investment of insurance premium paid by the insured banks. In fact, the Corporation has been remitting billions of Naira of its annual operating surpluses to the Federal Government as required by the Fiscal Responsibility Act. “The NDIC’s mandate and scope of operations are far beyond such narrow scope as was ignorantly painted by Mrs. Okereke-Onyuike. Hence, the call for the merger of the NDIC and AMCON is misplaced and totally uncalled for.”

Source :Vanguard

 

Share this:

  • Share
  • Email
  • Tweet
  • Reddit
featured We do Not Collect Subvention From FG-NDIC Replies Okereke-Onwyuike
orientalnewsng

Related Posts

CBN Sustains Strategy To Towards Implementation Of Banks Recapitalization 

June 18, 2025

CBN Retains Monetary Policy Rate At 27.50%

May 21, 2025

NDIC Assures High Profile Depositors Of Defunct Heritage Bank Of Payment 

March 30, 2025

Leave A Reply Cancel Reply

The latest
  •  Zenith Bank To Sustain Dividend Payout, Exits CBN’s Regulatory Forbearance June 30 
  • Accelerate Conference 2025 Marks 10-Year Milestone, Ignites Global Movement Of Purpose-Driven Leaders
  • Remita Affirms Commitment To Seamless Single Integration For Payments/ Digital Services 
  • Lagos Govt Seeks  Parental Involvement In Children’s Financial Literacy 
  • MLTF To Boost Police Efforts To Rid Nigeria Of Crime 
  • EFCC To We Ensure Recovered Assets Are Used For Public Good- Olukoyede 
  • Alleged $6bn Mambila Fraud:  Witness Says Liyel Imoke Wrote Contractor Company That EFCC Did Not Approve The Contract
  • Fidelity Bank Restates Commitment To Complying With Regulatory Policies 
  • GOCOP Book Launch Attracts Key Government Functionaries, Institutions 
  • FAAN Woos Investors With Projects With Bankable Assurances
Categories
Quick Links
  • About us
  • Terms of use
  • Privacy Policy
  • Disclaimer
  • Advertize here
  • Contact us
Facebook X (Twitter) Instagram YouTube LinkedIn
Copyright © 2025 Oriental News Nigeria. All right reserved.

Type above and press Enter to search. Press Esc to cancel.