In this research study titled an evaluation of the impact of Nigerian
deposit insurance corporation on Nigerian economy. The objective of the study was to know if the purpose of
introduction of NDIC in the Nigeria financial institution has actually
actualized its aim sine 1989 till date
The researcher used oral interview
and questionnaire to obtain all the necessary information including secondary
It was discovered that within the period the number of bank distress
reduced and people are now having
confidence in the Nigerian commercial banks
It was also discovered that it does not allow commercial banks to relax
they check their activities from time to time
It is also being understand that banks are business which is
intermediations conpced with the activities of the Apex bank as a regulatory
TABLE OF CONTENTS
1.1 background of the study
1.2 statement of the study
1.3 objective of the study
1.4 significant of the study
1.5 scope and limitations of the
1.6 definition of terms
REVIEW OF RELATED LITERATURE
2.1 An overview
2.2 Historical development of the banking industry in Nigeria
2.3 Achievement of the Nigeria Deposit Insurance
2.4 The role of Nigeria Deposit Insurance Corporation (NDIC)
to the banking industry.
2.5 Reason behind the establishment of Nigerian Deposit
2.6 The benefit of Nigeria Deposit Insurance Corporation
2.7 How the banking industry
pay their premium and to what extent
2.8 Problem facing NDIC
3.1 A review
3.2 Source of data
3.3 Locations of data
3.4 Research population
3.5 Sample size and sampling method
3.6 Instrument of data collection
3.7 Validity of Data presentation
3.8 Method of data presentation
3.9 Method of data analysis
5.1 Summary of findings
5.4 Suggestion of the questionnaire
Background of The Study.
The introduction of banking system emerged in
1891 but actually Started in
1892. The ACB bank, but when the bank was managed by colonial masters there was
a lot of disparity in employment given out loans to Nigeria indigenes and also having
their head office in London.
citizen objected to that and formed their own bank which was ruined by poor
management, fraud, inadequate capital and other problems.
Bank distress has always being the
case, in 1950’s we have 25 banks got distressed. In 1980’s the IBB Babangida
Administration introduced SAP to reduce the over dependence on oil sector to
Agricultural sector and bank deregulation. Many banks also got distressed,
because of these, in march 1988, the Nigeria government thought of establishing
Deposit insurance scheme as obtainable in other countries of the world like in
America it was introduced in 1933 to regulate and monitor banks failure and
distress because of this, the Nigeria deposit insurance scheme was into
operation in June 1989 to regulate and monitor the activities of the commercial
banks and also to protect bank depositors and also to restore confidence in the
banking industry. Since then, the issue of bank distress has reduced the case
in front is to know the roles activities of the Nigeria deposit insurance and
to know if the services are adequacy both to the bank depositors and the
Statement Of The Problem.
under the study is to reveal the activities of the
Nigeria despot insurance since it
was established in 1988 and know the situation before their establishment.
In a nutshell the statement of the
The purpose of the establishment of Nigeria deposit
If their services are adequate.
If not adequate what are the areas for improvement.
Objective Of The Study.
In this study,
the objective can be summarized thus.
Why was NDIC established
What are the roles they play
Who are they protecting
Does it has any change whether positively or Negatively
Are their services adequate what are the area of
Significant Of The Study.
In this study
a lot of importance will be derived such as
The bank depositors will know what created bank
distress or stress.
It will bring bank depositors confidence
It will reduce or stop bank run
It will bring overall development in Nigerian economy
The foreign investors will invest in Nigerian
It also be partial fulfillment for the award of
National Diploma to the student who is researching
It will be a reference point to other further
Scope And Limitation Of The Study.
The scope of
the study is limited to Nigerian Deposit insurance office at independence
which services as their regional office
The limitations of the
TIME: the researcher is a final year student coupled with finding area
of industrial attachment and academic work involvement
MONEY: money is scare of everybody let alone a student who is not
working so they all contributed to the impediment but something was achieved at
the end, hence this project that is above to be completed.
Definitions Of Terms.
Deposit insurance scheme
– Services adequacy: they regulates Banking and
– Distress: Suffering and problem caused by not having
– Failure: lack of success or not successful in doing
– SAP: structural Adjustment programmed
– Regulation: it will bring about a depositors
– Legislation: the process of making and passing Law.