The Nigerian Deposit Insurance Corporation (NDIC) says it has disbursed N2 billion to 71,000 depositors of the closed 103 Micro Finance Banks (MFBs) in the country.

The Managing Director of the corporation, Umaru Ibrahim, announced this on Saturday at the ‘NDIC Special Day’ at the ongoing 23rd Enugu International Trade Fair.
Mr. Ibrahim, represented by the Controller, South East, Mr Gidado Sambo, said arrangements had been made to transfer the payment of the depositors through eight agent banks across the country.
The banks are First Bank, Access Bank, Unity Bank, Mainstreet Bank, Union Bank, Wema Bank, UBA and Zenith Bank.
The NDIC boss also disclosed that the corporation had paid N3.3 billion out of the N5.2 billion insured deposits of 35 deposit money banks that were liquidated since 1994.
“We also paid N6.1 billion out of the N11.5 billion liquidation dividend that was declared to depositors of 35 deposit money banks,’’ he said.
Mr. Ibrahim said that in order to enhance public confidence, the board increased the deposit insurance coverage level from N200,000 and N100,000 to N500,000 and N200,000 respectively for deposit money banks and MFBs.
According to him, the new coverage level was used to settle depositors of the 103 MFBs closed in 2010.
The chief executive officer said the NDIC had mapped out strategies to enhance public awareness of its mandate and activities.
They include the development of a website and establishment of toll-free 24-hour help desk.
He commended the organisers of the fair, saying that it would help in attaining the transformation agenda of President Goodluck Jonathan.
In his remarks, the ECCIMA President, Theo Okonkwo, commended NDIC for the role it played in protecting depositors’ funds.
Mr. Okonkwo, however, urged the corporation to increase the compensation paid to depositors of distressed bankers.
He also urged the CBN to ensure that the rate of failed banks was reduced to save depositors from going through harrowing experience.