On June 24, 2025, in Lagos, the Nigeria Deposit Insurance Corporation (NDIC) urged stronger judiciary collaboration to address legal challenges in deposit insurance, as stated by Acting MD Emily Osuji at a judges’ seminar.
Osuji highlighted issues like prolonged judicial proceedings and court orders restricting NDIC’s mandate, including reimbursing insured deposits and liquidating failed banks like Heritage Bank, despite protections under Section 69 of the NDIC Act 2023.
The Act limits claims against NDIC to monetary damages, capped at insured deposits or nominal share values. However, courts have issued garnishee orders and attachments against NDIC and failed banks’ assets, hindering its operations.
The seminar aimed to boost awareness and engage judges as key stakeholders to align NDIC’s work with global standards set by the International Association of Deposit Insurers, addressing legal barriers to effective deposit insurance.
NDIC’s ongoing efforts include public awareness campaigns and frequent judicial engagements to ensure smoother execution of its role as Nigeria’s sole deposit insurer and liquidator, safeguarding financial stability.
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