PROTOCOLS

I feel highly honoured to be a part of this One-Day Sensitization Seminar on Non-Interest (Islamic) Deposit Insurance Scheme (NIDIS).  This Sensitization Seminar on Non-interest (Islamic) Banking and Deposit Insurance is indeed an epoch-making event. On the one hand, it is the first time the Corporation is organizing a seminar on non-interest banking. On the other hand and more importantly, it is an eloquent indication that the regulatory/supervisory authorities are determined to leverage on the current reforms of the financial system to introduce non-interest (Islamic) banking to the Nigerian financial landscape. Therefore, I sincerely commend the NDIC for taking the initiative to organize this very important seminar.

As you are aware, as a means of promoting depositor confidence in the banking system, in the event of bank failure, the Corporation guarantees to pay  insured depositors of universal banks  N200,000 each and N100,000 each for depositors of Micro-Finance Banks (MFBs) and Primary Mortgage Institutions (PMIs).

 Working in collaboration with the Central Bank of Nigeria (CBN), the Corporation also participates actively in the supervision of both universal banks, MFBs, and PMIs.

It is important for the public to know that the Corporation is making preparation to extend deposit insurance coverage to non-interest (Islamic) banks when they are eventually licenced. Non-Interest (Islamic) Deposit Insurance Scheme (NIDIS) is usually instituted to protect the deposit liabilities of depositors against loss of their deposits lodged with non-interest (Islamic) banks in the event of failure of such banks.

In the past the Corporation had adopted a number of measures to create awareness and promote its activities. This seminar is a continuation of such efforts. In this regard, I am confident that this particular sensitization seminar will not be the last one. The Corporation should also organise interactive sessions with the members of the public not only in the major cities but even in other localities across the nation.

It is when insured depositors are aware of the safety and soundness of their insured institutions that they can repose unflinching confidence not only in such institutions but also in the entire financial system.

Finally, I thank you for giving me the honour to make the Opening Address at this auspicious occasion. I have no doubts that with the array of Islamic scholars and experts in Shariah-compliant banking operations and highly experienced practitioners in Islamic deposit insurance that are gathered here today, the objectives of this seminar will be realised. I hereby declare the seminar open.

AMB. (DR) HASSAN ADAMU, CON, (WAKILIN ADMAWA)

WEDNESDAY, NOVEMBER 24, 2010