The Managing Director and Chief Executive of the Nigeria Deposit Insurance Corporation (NDIC), Alhaji Umaru Ibrahim, has said there was the need for effective collaboration between regulators and operators in the banking system for the establishment of sound ethics and professionalism.
Ibrahim made the call during visit by the Executive members of the Chartered Institute of Bankers (CIBN) according to a statement by the Head, Communications and Public Affairs Department, Mr Muhammed Ibrahim on Wednesday in Lagos.
The NDIC boss lamented that abuse of extant regulations and ethical standards impacted negatively on the confidence in the banking industry.
This, he said, also affected the entire financial system, citing the recent involvement of some commercial banks in illegal forex transfers as a wake-up call for better corporate governance and ethical behaviour by the banks.
The managing director assured the CIBN President of NDIC’s collaboration, adding that the corporation would enhance the enforcement of good corporate governance among banks and the promotion of high ethical standards and professionalism.
He said that it was the primary responsibility of regulators to uphold strict compliance with international best practices and ethical standards.
The NDIC boss said that the organisation would promote effective risk management and sound corporate governance in the banking industry.
“This is in line with the corporation’s drive towards protecting depositors and enhancing public confidence in the financial system,” he said.
The CIBN President, Dr Uche Olowu, attested to the recognition of the NDIC Academy by the International Association of Deposit Insurers (IADI), as a world class institution in providing capacity building for the banking industry.
He said that the recognition and the CIBN’s active collaboration with the corporations, entrenching ethical standards was a key driver towards effective service delivery in the industry.
He therefore, restate the need to extend the collaborative efforts to joint research and knowledge-based events to enhance public awareness about the role of deposit insurance in financial system stability.