The Nigerian Deposit Insurance Corporation (NDIC) has commenced the process of paying depositors of the recently liquidated Heritage Bank.
Managing Director of NDIC, Bello Hassan, made this announcement at a press briefing in Abuja on Wednesday.
Hassan assured depositors that payment will be made within one week, contrary to the 30-day period stipulated by law. Preliminary findings indicate that depositors’ funds total around N650 billion, while the bank’s loans amount to approximately N700 billion.
The Central Bank of Nigeria (CBN) revoked Heritage Bank’s operational license on Monday due to the bank’s failure to improve its financial performance, posing a threat to financial stability.
According to the NDIC, 99% of the bank’s 2.3 million depositors have deposits below N5 million, which is within the threshold insured by the NDIC for bank depositors. Depositors can expect to receive their payments within the next seven days.
