November 2, 2024

Osinbajo Calls for Upgrading of NDIC Regulation To Cover Fintech

By Prudence Ijah, Abuja – October 22, 2019
Nigeria’s Vice President, Professor Yemi Osinbajo has reiterated calls for the Nigeria Deposit Insurance Corporation (NDIC) to update her regulatory functions to cover the growing financial technology in this digital era.
Speaking at the Book Presentation of the book titled: “Thirty Years of Deposit Insurance System in Nigeria”, Osinbajo who commended NDIC for demonstrating excellence in delivering on her regulatory duties for the 30th past years urged the corporation to do more and not get lost in the glory of 30years.
He urged NDIC to embark on more research and constant retraining to meet up with the required capacity for financial technology in this digital age.
The VP further called for a rethink of the bailout procedure and other regulatory activities, which he said is gradually becoming outdated with digital technology.
His words, ” Today, as I commend NDIC for its 30years success, I urge NDIC not to get lost in the glory of the 30th years, but to prepare for the challenges of the future”
“The future is exciting with the various technologies but it calls for proactive measures from NDIC and other agencies in the financial safety nets, there is a lot of work to be done and I hope the next 30years will be more glorious”. He stressed.
While unveiling the book, Osinbajo hinted that banks all over the world are investing on FINTECH, hence the need for financial institutions in the country to strengthen their capacity.
In the same vein, the Guest lecturer Aigboje Aig-Imoukhuede, while delivering his lecture titled: “Emerging Risks and Corporate Governance Issues in Banking”, pointed out that the regulatory capacity presently operational was evolved to respond to the challenges of yesterday hence the need for NDIC to focus on developing regulatory frameworks to address the emerging risks of the future.
Imoukhuede said “the risks of the future should be NDIC’s focus as the digital model requires a new regulatory capacity”.
The guest lecturer called for the repositioning of NDIC for a digital banking sector as digital crime is becoming a growing concern that requires expertise to address.
 “Corporate governance and emerging risks when not handled well leads to bank failure, NDIC has remained a feared regulator by banks, it is crucial to strengthen NDIC for the digital banking sector,” he said.
In his keynote speech, the International Association of Deposit Insurance (IADI), David Walker commended the NDIC for the growth of the NDIC Academy which is contributing immensely in knowledge sharing and capacity building.
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