THE Nigeria Deposit Insurance Corporation (NDIC) has disbursed N69.65 billion to insured depositors of failed financial institutions, as the agency steps up efforts to ensure customers recover protected funds when banks collapse.
Director of Strategy Development at the NDIC, Gwa Uduak, announced the cumulative payments on Thursday during the opening of the corporation’s 2026 Customer Service Week in Abuja.
She said the agency had also paid uninsured depositors through the liquidation of failed institutions, but did not disclose the total amount recovered and distributed to that category of customers.
Uduak said every settlement represented customers seeking to recover their money during periods of uncertainty, stressing that the corporation remained committed to protecting depositors.
The NDIC’s responsibilities include providing deposit insurance, supervising insured financial institutions in collaboration with the Central Bank of Nigeria (CBN), resolving distressed lenders and liquidating institutions whose licences have been revoked.
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47 failed microfinance banks account for N1.48bn payouts
A presentation at the event showed that the corporation had paid N1.48 billion to 10,312 insured depositors of 47 failed microfinance banks as of July 31, 2026.
Among the affected institutions were Abia SME Microfinance Bank, Frontline Microfinance Bank and Goldman Microfinance Bank.
The NDIC also paid N1.15 billion to 1,082 depositors of Union Homes Savings and Loans Plc and N313.02 million to 8,248 depositors of Aso Savings and Loans Plc under its accelerated payment programme in 2026.
The corporation said it uses Bank Verification Number (BVN) validation through the Nigeria Inter-Bank Settlement System (NIBBS) to confirm depositors’ identities and obtain alternative bank account details, helping to speed up payments.
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For newly closed banks, insured deposit payments now begin within 3 days of the revocation of their banking licences, according to the presentation.
The arrangement is designed to reduce delays in reimbursing eligible customers and limit the disruption caused by the closure of financial institutions.
NDIC deploys technology to improve customer service
Managing Director and Chief Executive Officer of the NDIC, Mr Thompson Sunday, said the corporation was implementing institutional reforms to strengthen depositor protection and improve service delivery.
He noted that the agency had contributed to maintaining confidence in Nigeria’s financial system since its establishment in 1988.
As part of the reforms, the NDIC introduced NDIC Ascend, an institutional transformation initiative intended to improve operational processes, strengthen collaboration and expand the use of technology in delivering services.
Sunday said the corporation’s effectiveness depended on its ability to respond quickly to depositors and other stakeholders.
Acting National Coordinator and Chief Executive Officer of SERVICOM, Ms Helen Lawal, urged the NDIC to prioritise timely complaint resolution and proactively identify customers’ needs.
She also praised the corporation’s Service Level Agreement Management System, which tracks departmental performance against agreed service delivery targets.
Head of the NDIC SERVICOM Unit, Chinyere Ogunsakin, said the Customer Service Week offered an opportunity to recognise employees and improve engagement with stakeholders.
The 2026 celebration was held under the theme, The Extra Mile, which encourages staff to go beyond basic service expectations.
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Corporation supervises 917 financial institutions
The NDIC’s presentation showed that it provides supervisory oversight for 37 deposit money banks, 32 primary mortgage banks, 813 microfinance banks, 5 payment service banks and 30 mobile money operators.
The figures highlight the breadth of the corporation’s responsibilities across Nigeria’s financial services industry.
By insuring eligible deposits, monitoring financial institutions and managing the resolution of failed lenders, the NDIC seeks to reduce the impact of bank failures on customers and preserve confidence in the financial system.
