An Appraisal of NDIC as a Regulatory Authority in Nigeria

Abstract

This study appraised the NDIC as a regulatory authority in Nigeria. Primary data was used and collected from management respondents of the selected banks. For collection of primary data, close ended questionnaire were applied to the respondents. This questionnaire involved all variables of study (enabling act, NDIC structures and losses of fund). The population of the study comprised of employees of First bank, Zenith bank and Access bank in Ado-Ekiti, Ekiti State, Nigeria. However 100 bank employees were selected using simple random sampling technique. The data were statistically analyzed and regressed by using the chi-square statistical tool to evaluate the relationships between the NDIC performance appraisal and regulatory authority in Nigeria. The findings revealed that the NDIC have performed their roles in line with the enabling Acts establishing them and its structures have a positive relationship with how well they perform their functions. Furthermore, the regulatory Acts of NDIC and BOFIA have assisted to protect the depositors against losses of fund. Based on these findings, the study recommends that the corporation should involve more of the NDIC zonal offices so as to perform their roles effectively to banks in different zones and also to bring payments of claims closer to depositors. Likewise, the extensive use of social media will bring awareness and information to depositors of liquidated banks for payment. Furthermore, the corporation should employ more debt recovery agents that will aid in prompt recovery of debts from debtors of the banks. These recommendations will help the corporation as a regulatory authority more effective in performing their roles.