With the increasing rate of cyber crime and other related financial crimes traceable to online transactions and cryptocurrency operations all over the world, the Nigeria Deposit Insurance Corporation (NDIC) is taking proactive steps to forestall possible eventualities that may arise as a result of unwholesome financial practices trending across the globe.
This has prompted the NDIC Board to rally fellow deposit insurance corporations, which are members of 91 world deposit insurers that constitute Basel, Switzerland-based International Association of Deposit Insurers (IADI), in order to facilitate robust implementation of deposit insurance system that de-risks digital and cryptocurrency operations in various countries of the world.
Consequently, the Board of the NDIC undertook tours to two foreign deposit insurers – the Central Deposit Insurance Corporation, Taiwan and the Korea Deposit Insurance Corporation (KDIC), where exchange programmes on deposit insurance systems were discussed (among others) and memoranda of understanding (MOU) signed to cement working relations.
Speaking with some journalists recently, Ronke Sokefun, chairman of the Board of the NDIC, said the tours to the Taiwan and Korean deposit insurance corporations were to effectively and quickly tame the rising nature of cyber crime digital operations might have increased across the world.
Sokefun, who led the delegation from the NDIC that included Umaru Ibrahim, the managing director and other members of the Board as well as management staff, noted that deposit insurers all over the world must work together in order to jointly curtail emerging challenges arising from the increasing globalisation and complexity of large financial transactions in different regulatory jurisdictions across the world.
She said, “We have an umbrella body – International Association of Deposit Insurers (IADI), which yearly AGM provides opportunities for all the regions to compare notes.
“It was at one of such meetings that we developed a relationship and commenced discussions on possible collaboration with S. Korea and Taiwan which culminated in the execution of Memoranda of Understanding (MOU) with the KDIC and CDIC.
“Deposits have gone beyond cash and money instruments as we now discuss cryptocurrencies which has also resulted in a rise in cyber crime. Collaborations of this nature are geared towards combating such crime through the use of technology and staff exchange.”
While revealing that the MOU signed with both the Korea Deposit Insurance Corporation (KDIC) and Taiwan Central Deposit Insurance Corporation ( CDIC) would offer platforms for effective multilateral working relationship among the world insurers under International Association of Deposit Insurers (IADI), Sokefun added that there would be periodic exchange of staff among participants as part of efforts to promote best practices for effective deposit insurance system globally.
