The Nigeria Deposit Insurance Corporation (NDIC) has commenced the payment of insured deposits to customers of 46 microfinance banks whose licences were recently revoked.
NDIC Managing Director and Chief Executive Officer, Thompson Sunday, disclosed this during an interview with the News Agency of Nigeria (NAN) in Abuja, on the sidelines of the International Association of Deposit Insurers Africa Regional Committee meeting.
Sunday explained that the corporation was leveraging the Nigeria Inter-Bank Settlement System (NIBSS) and customers’ Bank Verification Numbers (BVNs) to process the payments.
He said the NDIC had identified alternative bank accounts linked to depositors and was transferring funds directly to them, eliminating the need for physical visits to its offices.
However, he urged depositors without BVNs to visit the nearest NDIC zonal office for verification and assistance with payment processing.
The NDIC boss said the Central Bank of Nigeria (CBN) revoked the licences of the affected microfinance banks on July 1, 2026, after which the corporation assumed the role of provisional liquidator in accordance with the law.
He added that eligible depositors had started receiving the insured maximum amount of N2 million, while additional payments would be made based on funds recovered from the assets and outstanding obligations of the failed banks.
According to him, proceeds from asset recoveries would be shared among eligible customers as liquidation dividends.
Sunday highlighted previous interventions involving institutions such as Heritage Bank, Aso Savings and Union Homes, noting that NDIC had successfully reimbursed insured depositors within a short period after licence revocation.
He stated that Heritage Bank customers received payments four days after its licence was withdrawn, while depositors of Aso Savings and Union Homes were paid within 72 hours.
“The law allows us 30 days, but we are working to surpass our previous records,” he said.
The CBN had earlier revoked the licences of the microfinance banks over failure to meet regulatory requirements, stating that the move was necessary to protect depositors, maintain financial stability and enforce compliance within the banking sector.