The Nigeria Deposit Insurance Corporation has said that more than 281 million depositors across the country’s banking system are now protected against bank failure, following reforms that expanded coverage and quickened reimbursement of customers of failed banks.

The Managing Director and Chief Executive Officer of the NDIC, Thompson Sunday, disclosed this at the second quarter 2026 Citizens and Stakeholders’ Engagement Session organised by the Federal Ministry of Finance in Abuja.

He said the corporation currently insures deposits across 914 licensed financial institutions, comprising deposit money banks, non-interest banks, microfinance banks, primary mortgage banks and mobile money operators. More than 98 per cent of depositors are now fully covered for their entire balances, following an upward review of deposit insurance limits in May 2024, the first such review since 2016.

Under the revised framework, coverage for deposit money bank customers rose from N500,000 to N5 million. Customers of microfinance banks, primary mortgage banks and payment service banks now have cover of up to N2 million, while mobile money subscribers are covered up to N5 million.

Sunday said the changes lifted full coverage for deposit money bank customers to 98.98 per cent, from 89.2 per cent before the review. Full coverage for customers of microfinance banks, primary mortgage banks and payment service banks rose to 99.27 per cent, 99.34 per cent and 99.99 per cent, respectively.

He also pointed to faster payouts to depositors of failed banks, saying the use of the Bank Verification Number had cut reimbursement timelines from years to days. The corporation has so far paid more than N54.93 billion in insured deposits to 698,040 Heritage Bank depositors. In 2025 alone, it paid N4.06 billion to 13,446 insured depositors and N33.59 billion to uninsured depositors of failed banks.

He attributed the reforms to the NDIC Act 2023, which replaced the 2006 Act and strengthened the corporation’s powers to resolve failing banks, recover assets and protect depositors. The law gives depositors priority over creditors and shareholders during bank liquidation, strengthens the Deposit Insurance Fund, and broadens the corporation’s asset recovery and enforcement powers.

The NDIC also disclosed that it conducted 287 on-site bank examinations in 2025 and resolved 1,196 of 1,407 depositor complaints received during the year, alongside continued off-site surveillance in collaboration with the Central Bank of Nigeria. Separately, it said 32 banks met the March 31, 2026 recapitalisation deadline, raising more than N4.61 trillion in fresh capital, with the NDIC supporting the CBN through capital verification and early identification of undercapitalised banks.

Also speaking, the Permanent Secretary of the Federal Ministry of Finance, Raymond Omachi, said the engagement was part of the ministry’s effort to strengthen transparency, accountability and communication with citizens and stakeholders, and to share progress on its agencies’ assigned priorities.