This is in line with its move to ensure deposit guaranty and reimbursement of depositors in the event of bank failure, in-liquidation towards payment of their insured sums.

The Director, Communication and Public Affairs, NDIC, Bashir Nuhu, on Sunday, said in a statement that the verification exercise would guarantee depositors of the defunct bank to cross-check and ascertain their account information as well as balances with the bank as at closure.

The statement further noted that the process is a prelude to the payment of insured sums to such depositors.

“Depositors are therefore enjoined to visit the bank’s old premises or the Corporation’s office nearest to them with proof of account ownership and verifiable means of identification for the exercise,” NDIC stated.

The corporation added that the insured sum is the first and mandatory payment that depositors are paid, up to a specified limit, if a bank fails.

Depositors are paid amounts above the insured sums subsequently, as liquidation dividends from proceeds of the closed bank’s assets as realized by NDIC as liquidator.

NDIC is a statutory body established by NDIC Act No. 16 of 2006 with the exclusive mandate of administering the Deposit Insurance System in Nigeria. It supervises banks to protect depositors; foster monetary stability; promote an effective and efficient payment system; and promote competition and innovation in the banking system.

The assurance was given by Othman Afolayan, Senior Manager of the NDIC’s Enugu zonal office, who represented the Managing Director, Bello Hassan, at the NDIC Day at the ongoing 34th Enugu International Trade Fair.

He stated that the corporation was determined to boost public trust in the financial system by protecting customers’ bank deposits.

He clarified that money deposit banks were supervised by the NDIC and the CBN to ensure their safe and efficient operation.

This, he added, was done in line with extant laws and regulations and ensuring the resolution of distress in banks to reduce instances of failure.

“We are at the trade fair to showcase the mandate and activities of the NDIC, particularly our contributions to the stability of the country’s financial system.

“We want the general public to know and reflect always that their deposits are safe and that in the unusual event of a bank failure, the NDIC is here to protect them, especially the small savers,’’ he said.

He did, however, advise depositors to use strong passwords on their phones and to avoid sharing their bank mobile app passwords with third parties.

In an Exposure Draft of the Regulatory Framework for Agent Banking in Nigeria, the apex bank stated that owners of merchant POS machines are not permitted to carry out cash-in and cash-out transactions because such functions are reserved for a different category of agent banking operators.

While listing a list of prohibited activities for agents, the bank stated in the draft, “Agents shall not use purchase option PoS Terminals for cash-in and cash-out transactions.”

The guidelines cover agent banking operations and super agent licensing, as well as the minimum standards and requirements for the process of agent banking in the country, as well as the roles and responsibilities of stakeholders involved in agent banking.

It also stated that the agents were allowed to accept cash deposits and withdrawals have a limit they must not go beyond.

The CBN emphasized that agents must not “accept deposit or allow withdrawal above an amount which shall be prescribed, from time to time, by the bank,” and must not “charge customers fees outside regulated fees regime.”

The Central Bank explained that it came up with these rules “in the exercise of the powers conferred on the bank by Section 2 (d) of the Central Bank of Nigeria Act, 2007 and Section 57 (2) of the Banks and Other Financial Institutions Act (BOFIA), Laws of the Federation of Nigeria, 2004.”

The guidelines cover the operations of agent banking and the licensing of super agents, provide minimum standards and requirements for the process of agent banking in the country, and the roles and responsibilities of stakeholders involved in agent banking.

The NBS’s “Selected Banking Sector Data report” for the entire year of 2021 lists the affected employees as belonging to the categories of executives, staff, junior, and contract personnel.

Those employed in commercial banks, merchant banks, and non-interest banks made up the workforce, according to the official data warehouse of the nation.

While few other employees resigned, a sizable portion of the workforce was fired.

According to the data, banks’ staff strength fell to 93,090 by the end of 2021, representing a decline. This is worse than in 2020, when the COVID-19 pandemic led to the closure of businesses, including banks.

When the Nigerian economy was reopened after the over three months lockdown in 2020, some banks shut down some of their branches, while others reduced work hours.

According to Aisha, the total assets rose from N53.64tn in June 2021 to N65.48tn in the corresponding period of 2022, adding that Gross credit rose by N5.02tn between June 2021 and June 2022.

She said, “Key industry aggregates also continued their year-on-year upward trajectory with total assets rising to N65.48tn in June 2022 from N53.64tn in June 2021, while total deposits rose to N42.03tn from N33.85tn over the same period.”

“Gross credit has maintained an upward trajectory since 2019, rising by N5.02tn between June 2021 and June 2022 with significant growth in credit to manufacturing, general commerce, and oil & gas sectors.”

“This notable increase was achieved amidst a continued decline in non-performing loans ratio from 5.3 percent in April 2022 to 5.0 percent in June 2022.”

She also said the results of stress tests showed the resilience of banks’ solvency and liquidity ratios in response to potential severe macroeconomic shocks.

“The Bank must remain vigilant to proactively manage probable macro-risks to the financial system such as lingering spillover effects of the pandemic, winding down of industry forbearance portfolio, and other risks to financial stability such as exchange rate, operational, and cyber security risks,” she added.

A member of the MPC, Folashodun Shonubi, said the financial sector recorded some significant growth during the period including deposits in the bank.

He said, “Prudential indicators in the banking sector remained within acceptable levels, highlighting the sector’s resilience.

“Even as a total asset, deposit and credit maintained their upward trend, the non-performing loans ratio improved further to 4.95 percent, below the prudential maximum of 5.0 percent.

“Industry capital adequacy and liquidity ratio were maintained within regulatory thresholds, though returns on equity and investment recorded muted improvement, reflecting the high operational cost and tight operating environment.”