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Nigeria Deposit Insurance To Adopt Risk-based Approach In Banks’ Premium
  • 29/11/2021
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Nigeria Deposit Insurance To Adopt Risk-based Approach In Banks’ Premium

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Descripción de Nigeria Deposit Insurance To Adopt Risk-based Approach In Banks’ Premium

The Nigeria Deposit Insurance Corporation says it was reviewing its approach for determining the premium by banks to its Deposit Insurance Fund with a view to adopting a risk-based approach.
Managing Director of NDIC, Mr Bello Hassan explained NDIC had commenced the review of its approach to the determination of premium/contribution by banks to our DIF to a more risk-based approach to ensure that, the probability of the risk crystallising becomes a major factor in the pricing methodology of our premium going forward.”
The NDIC, in calculating premiums from deposit money banks, usually chose between adopting a flat-rate premium or a system that sought to differentiate premiums on the basis of individual-bank risk profiles.

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