Finance Minister, Ahmed assures new NDIC boss of synergy in resolving BOFIA issues

Minister of Finance, Budget and National Planning, Mrs Zainab Ahmed, has assured the newly inaugurated Managing Director and Chief Executive Officer, Nigeria Deposit Insurance Commission (NDIC) of synergy in resolving issues that arise from the recently amended Banks and Other Financial Act (BOFIA) 2020.

She stated this during the inauguration of the new NDIC Managing Director, Bello Hassan.

“I am aware there are issues that arose from the recently amended Banks and Other Financial Act (BOFIA) 2020 to which my attention was drawn. We will work with you and the board to resolve them. I pledge the Ministry’s continuous support and collaboration to your corporation in the discharge of its mandate,” she said.

At the event held in Abuja, Mr Bello Hassan, the MD/CEO is to take over from Alhaji Umaru Ibrahim who was at the helms of affairs at the corporation from 2010 to 2020, spanning two terms of five years each, while the Executive Director (Operations) would be succeeding Prince Aghatise Erediauwa who also served a two-term tenure, from 2010-2020.

She noted that the successes achieved by the corporation over the years have been because of good corporate governance, and the dedication of the entire staff, adding: “I would expect that the executive management team under your leadership will continue to discharge the responsibility of the corporation with diligence and build on the successes already achieved to take the corporation to greater heights.”

She noted that over the years, the corporation has become an important component of the nation’s financial safety net and at the forefront of activities that promote financial system stability through its contributions to financial inclusion and other economic policies of the government.

“Furthermore, the corporation has been consistent in remitting its 80 per cent operating surplus to the Consolidated Revenue Fund of the government, among many other milestones achieved (one of the very few state-owned enterprises (SOEs) that do so diligently). I urge you to keep this good track record.”

“From available records, it has become traditional to appoint the managing director from the CBN. Since the inception of the corporation, three chief executives of the NDIC have been former staff of the CBN, including the immediate past managing director. Today, history is repeating itself as we witness the inauguration of yet another long-standing staff of the CBN.

She stated that the appointment of the two people was not surprising, given the close working relationship between the two organisations, adding that she looked forward to a continued harmonious and complementary working relationship between the two key financial regulatory agencies.

She also noted that the successes achieved by the corporation over the years have been because of good corporate governance, and the dedication of the entire staff, expecting that the executive management team would continue to discharge the responsibility of the corporation with diligence and build on the successes already achieved to take the corporation to greater heights.

In his response, Mr Hassan thanked Mr President and the National Assembly for the appointment and the confirmation, and the Honourable Minister for finding time to do the inauguration, despite her tight schedule. He assured that they would work to improve on the current successes of the corporation.
“We will strengthen the deposit insurance framework with a faster and orderly resolution for liquidated financial institutions whose licenses have been revoked by the CBN. Of recent, there have been calls by the industry for NDIC to offer assistance in line with the provisions of the Act to insured financial institutions that need assistance; we want to make sure that we offer the assistance in a faster manner, to promote confidence and stability within the financial system”