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Tag: Mohammed Kudu Ibrahim

  • Defunct Skye Bank: NDIC assures depositors of safety of funds

    Following the withdrawal of the operating license of Skye Bank Plc Friday by the Central bank of Nigeria, the Nigeria Deposit Insurance Corporation (NDIC) has assured the customers and depositors of safety of their funds.

    The NDIC made this known through a statement by its Head of Communications and Corporate Affairs, Mohammed Kudu Ibrahim.

    It reads: “In continuation of the Central Bank of Nigeria (CBN) intervention in the distressed Skye Bank Plc., on the 4th July 2016, which was aimed at protecting depositors of that bank, the NDIC, in the exercise of its statutory powers, under the NDIC ACT, 2006, and in consultation with the Central Bank of Nigeria, has organized and incorporated a Bridge Bank known as POLARIS Bank Limited to assume the deposit and other liabilities of the SKYE BANK PLC and acquire its assets.

    “Consequently, POLARIS Bank Limited, has been issued operating license by the CBN and shall commence banking business from the 21st of September 2018; while the operating license of SYKE has been revoked by the Governor of the Central Bank of Nigeria and the NDIC has commenced the processes for its liquidation.

    “The capitalization Polaris Bank Limited (The Bridge Bank) is been done by the Assets Management Corporation of Nigeria (AMCON) through the injection of 786 billion Naira to return the bank to soundness and profitability to enable its subsequent sale to credible and financially sound third parties acquirers.

    Read Also: CBN revokes Skye Bank’s licence

    “The NDIC carried out the Bridge Bank option to resolve the SKYE Bank Plc. in order make certain that its depositors are fully protected as their deposits with Polaris Bank limited remain insured under the NDIC Act and the customers of SKYE Bank Plc. can also continue to transact their businesses with POLARIS Bank Limited thereby ensuring the non-disruption of their banking transactions.”

    It further added that, “the adoption of the Bridge Bank model for the resolution SKYE Bank Plc., guarantees that most of the employees of that bank will not lose their jobs and they will continue their employment with POLARIS Bank Limited under fresh contracts of employment.

    “The NDIC, as Deposit Insurer, acted to ensure the continued safety of depositor’s funds in furtherance of the regulatory authorities resolve to proactively manage potential threats to financial system stability.

    “We hereby assures depositors and customers of the defunct SKYE Bank PLC that their deposits are safe and hereby encourages them to continue to transact their normal banking business with POLARIS Bank Limited.”

     

  • NDIC to host IADI workshop in Lagos

    The Nigeria Deposit Insurance Corporation (NDIC) will host the next edition of the International Association of Deposit Insurers (IADI) Africa Regional Committee (ARC) Annual General Meeting and Technical Assistance Workshop.

    This is according to a statement by Mohammed Kudu Ibrahim, Head of Communication & Public Affairs of the Corporation.

    According to the statement: “The event has been scheduled to hold at the Four Points by Sheraton Hotel, Lagos from the 25th – 27th September, 2018, with theme centering on Financial Stability and System-Wide Crisis Preparedness.

    “Participants and resource persons from all across the African continent and beyond have confirmed their participation in the Workshop.”

    The event is expected to provide a forum for information and experience sharing among Deposit Insurance practitioners from multiple jurisdictions to evolve strategies for addressing the potential risks of financial crisis in the global financial system.

    Read Also: Lagos Government recovers N829.11m

    It further added that, “The Secretary-General of IADI, Mr. David Walker will be in attendance, along with the Executive committee members of the IADI African Regional Committee and representatives of West African Monetary Union Deposit Insurance Fund. The Honourable Minister of Finance is expected to declare the workshop open.

    “Apart from providing an effective platform for collaboration in the areas of experience sharing, IADI also enhances the capacity of member agencies through educational programmes, targeted research and guidance on matters relating to Deposit Insurance System among its members.”

    It is worthy of mention that the NDIC is a founding member of IADI. The MD/CE of the Corporation, Umaru Ibrahim, was also elected twice into the IADI Executive Council in 2013 and 2016.

     

  • Abuse of ethical standards negatively impacting banking industry – NDIC

    The Managing Director and Chief Executive of the Nigeria Deposit Insurance Corporation (NDIC), Umaru Ibrahim, have stressed the need for effective collaboration between regulators and operators in the banking system for the establishment of sound ethics and professionalism in the banking industry.

    He made the call during the courtesy visit by the Executive members of the Chartered Institute of Bankers (CIBN) on Monday at its office in Abuja.

    The NDIC Boss in a statement by Mohammed Kudu Ibrahim, its Head of Communications and Public Affairs, decried abuse of extant regulations and ethical standards as negatively impacting on the confidence in the banking industry and the entire financial system in general. He cited the recent involvement of some deposit money banks in illegal forex transfers as a wake-up call for better corporate governance and ethical behaviour by the banks.

    Speaking further, he assured the CIBN President of his resolve to strengthen collaboration with the institute in the enforcement of good corporate governance among banks as well as the promotion of high ethical standards and professionalism.

    Read Also: NDIC builds capacity for Uganda DPFU

    According to him, it is the primary responsibility of regulators to uphold strict compliance with international best practices and ethical standards in order to promote effective risk management and sound corporate governance in the banking industry. This is in line with the Corporation’s drive towards protecting depositors and enhancing public confidence in the financial system.

    The CIBN President, Dr. Uche Olowu attested to the recognition of the NDIC Academy by the International Association of Deposit Insurers (IADI) as a world class institution in providing capacity building for the banking industry.  He said this recognition and the CIBN’s active collaboration with the Corporation to entrench ethical standards is a key driver towards effective service delivery in the industry. He therefore emphasized the need to extend the collaborative efforts to joint research and knowledge-based events to enhance public awareness about the role of deposit insurance in financial system stability.

    Dr. Olowu, who is also the Chairman of Council, stated the active participation of the Corporation in the activities of the council as well as its role in the nation’s economic development informed the Council’s visit to formally invite the NDIC MD/CE as a special guest and resource person at the CIBN 11th Annual Banking and Finance Conference.

  • NDIC assists Ugandan agency on capacity building

    The Nigeria Deposit Insurance Corporation (NDIC) is assisting the Uganda Deposit Protection Fund (DPFU) to develop capacity to implement the Deposit Insurance System (DIS) in the East African country.

    In a statement by Mohammed Kudu Ibrahim, NDIC’s Head of Communications and Public Affairs, the Corporation recently hosted a five-member delegation from DPFU who arrived the country to understudy the activities of the Corporation.

    He said: “The NDIC has been the destination of choice for several sister agencies and Central Banks from across the African continent eager to understudy the activities of the Corporation and learn from its rich experience in Deposit Insurance – a subject on which it is recognized as a leader in Africa.

    Read Also: Buhari names Keyamo, Mustapha, others NDIC board members

    “The Ugandan team was only the latest delegation from several Africa countries to visit the Corporation for capacity building.”

    He further added that, “The NDIC previously hosted delegations from the Reserve Bank of Malawi, Reserve Bank of Lesotho, Deposit Protection Fund Board of Kenya, Deposit Insurance Board of Tanzania, Commission Bancairedel’Afrique Centrale (COBAC) of Cameroun, Delegates from Banque Centrale Des Etats De L’ Afrique De L’ Ouest (BCEAO) in Senegal all of whom the NDIC assisted build the capacity for the implementation of the Deposit Insurance System (DIS) in their various jurisdictions.

    “Others include teams from the Central Bank of The Gambia, Bank of Tanzania, the Deposit Protection Corporation of Zimbabwe, and the Ghana Deposit Protection Corporation (GDPC). In September, 2018, the NDIC will also host the African Regional Conference of the International Association of Deposit Insurers (IADI).”