THE Federal Government and Nigeria Deposit Insurance Corporation (NDIC) have called for stronger collaboration among African deposit insurers and financial regulators to safeguard financial stability amid growing risks from digital finance, artificial intelligence and cross-border banking activities.

Speaking at the opening of the 2026 International Association of Deposit Insurers (IADI) Africa Regional Committee (ARC) Annual Meeting and Workshop in Abuja yesterday, NDIC Managing Director and Chief Executive, Thompson Oludare Sunday, said public confidence and institutional preparedness remain the foundation of a resilient financial system.

Addressing delegates from across Africa and other regions, the NDIC boss said the rapid evolution of financial technology has created new opportunities for financial inclusion but has also exposed banking systems to emerging risks that require coordinated regulatory responses.

He noted that this year’s theme, “Safeguarding Stability: Public Awareness and Crisis Readiness for a Stronger Future,” reflects the urgent need for deposit insurers, central banks, supervisors and resolution authorities to strengthen public communication and crisis management frameworks.

According to him, maintaining public trust is critical because confidence can take years to build but can disappear within days if uncertainty spreads through misinformation or market speculation.

He said public awareness should no longer be treated as a secondary responsibility but as a core pillar of financial stability, arguing that informed depositors are less likely to panic during periods of financial uncertainty.

The NDIC chief also pointed to lessons from the 2023 global banking turmoil, describing it as the most severe episode of systemic banking stress since the 2007-2008 global financial crisis. He said the crisis demonstrated how quickly confidence can evaporate, particularly in today’s digital environment where information spreads instantly through technology and social media.

He warned that financial crises can emerge unexpectedly and escalate rapidly, making preparedness, timely intervention and effective coordination among financial safety-net institutions essential to preventing wider contagion.

He hinted that the workshop will examine practical approaches to crisis preparedness, institutional resilience, coordinated responses among financial safety-net participants and strategies for strengthening depositor confidence across participating countries.

Highlighting Nigeria’s efforts, he said the NDIC continues to work closely with the Federal Ministry of Finance, the Central Bank of Nigeria and other members of the Financial Services Regulation Coordinating Committee to strengthen depositor protection and preserve financial stability.

He said increasing integration of African financial systems makes stronger partnerships, information sharing and cross-border cooperation more important than ever in responding to common financial sector risks.
In his remarks, Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, said the gathering comes at a time when financial systems across the world face both unprecedented opportunities and emerging risks.

He declared that there can be no economic growth without financial system stability, and there can be no financial stability without public trust.

“When the public has confidence in financial institutions, savings increase, investment expands, and economic opportunities multiply,” he stated.

He submitted that monetary and fiscal policy alone cannot drive prosperity if the financial sector is vulnerable to panic, capital flight, or systemic distress.

Oyedele observed that the banking system is the nervous system of the macroeconomy, saying when depositors trust that their money is safe, capital flows productively, credit expands, and businesses grow.

Shedding light on how the strong capital base of banks can foster stability and resilience, Oyedele noted that a better-capitalised banking system is more resilient, better able to absorb shocks and sustain lending without recourse to the deposit insurance fund.

He maintained that deposit insurance does more than protect savings, adding that it supports financial inclusion.

“When people trust financial institutions, they save more; when savings increase, banks lend more; when lending expands, businesses invest, and jobs are created. This matters enormously across Africa, where expanding financial inclusion remains one of our greatest opportunities for accelerating inclusive growth,” he stated.