The Executive Chairman of the Fiscal Responsibility Commission (FRC), Mr. Victor Muruako, Esq., has commended the Nigeria Deposit Insurance Corporation (NDIC) for its prompt, consistent, and exemplary remittance of operating surplus into the Consolidated Revenue Fund (CRF), in strict compliance with the Fiscal Responsibility Act (FRA), 2007.
Mr. Muruako gave the commendation during a courtesy visit by the Managing Director/Chief Executive of the NDIC, Mr. Sunday Oludare Thompson, who led members of the Corporation’s newly appointed management team to the headquarters of the Commission.
Describing the NDIC as one of the most compliant government-owned institutions, the FRC Chairman said the Corporation has set a benchmark for fiscal responsibility and accountability among public agencies.
According to him, records available to the Commission show that NDIC has consistently fulfilled its statutory obligation on operating surplus remittance.
“If there is any agency that deserves to be recognised for strict compliance with the Fiscal Responsibility Act in terms of remitting operating surplus to the Consolidated Revenue Fund, NDIC would come first,” Mr. Muruako stated.
He urged the Central Bank of Nigeria (CBN) and other government-owned enterprises to emulate NDIC’s operational model, particularly its commitment to transparency and timely remittance of operating surplus, noting that such practices are critical to strengthening public finance management and national fiscal sustainability.
The NDIC is a statutory financial safety-net institution established to protect depositors, guarantee bank deposits, supervise insured financial institutions, and contribute to the overall stability of Nigeria’s financial system.
Although it is a self-funded agency, generating revenue mainly from premiums paid by insured institutions and investment income, the Corporation remains a public institution listed in the Schedule to the Fiscal Responsibility Act, 2007, and is therefore fully subject to the provisions of the Act.
Sections 21 to 23 of the Fiscal Responsibility Act require government-owned corporations and agencies to remit a prescribed percentage of their operating surplus to the Consolidated Revenue Fund.
While the NDIC initially complied with the requirement to remit 80 per cent of its operating surplus, subsequent amendments through various Finance Acts and Finance Circulars have refined the framework to reflect the unique structure of self-funded regulatory agencies.
Under the most recent amendment contained in Finance Circular No. FMFCME/OTHERS/IGR/CRF/21/2023 dated 28 December 2023, the NDIC is required to remit 80 per cent of 50 per cent of its Gross Internally Generated Revenue (IGR) to the Consolidated Revenue Fund.
In his remarks, the Managing Director/Chief Executive of the NDIC, Mr. Sunday Oludare Thompson, described the visit as a strategic stakeholder engagement, stressing that the Fiscal Responsibility Commission is one of the key institutions with which the Corporation considers it essential to maintain a strong working relationship.
He noted that both institutions share complementary mandates centred on promoting transparency, accountability, and public confidence in the management of public funds.
Mr. Thompson reaffirmed NDIC’s commitment to full compliance with all fiscal and regulatory obligations, as well as its resolve to continue building and sustaining its insurance funds in line with its statutory mandate.
He further pledged to strengthen collaboration with the Fiscal Responsibility Commission in the collective pursuit of sound financial governance and sustainable public finance management.