The Nigeria Deposit Insurance Corporation, NDIC, has called on banks to strengthen their risk management frameworks, corporate governance structures and operational capabilities to better withstand emerging threats to financial stability.
The NDIC Managing Director, Thompson Sunday, made the appeal in a goodwill message delivered at the 19th Annual Banking and Finance Conference of the Chartered Institute of Bankers of Nigeria, CIBN, in Abuja on Wednesday.
Sunday noted that rapid technological advancements, cyberattacks, climate-related challenges, geopolitical developments and evolving customer demands were reshaping the financial services sector.
He said banks must move beyond conventional resilience strategies by building stronger systems that can detect, manage and adjust to emerging risks.
According to him, financial resilience goes beyond the ability to withstand economic or operational disruptions, as it also involves preserving institutional strength and maintaining public trust.
He listed robust risk management, sound corporate governance, operational readiness and the ability of institutions to adapt as essential elements for a stable financial system.
The NDIC boss further cautioned that although greater dependence on technology had expanded financial inclusion and improved access to financial services, it had also created additional areas of vulnerability.
These, he said, included cybersecurity risks, data privacy concerns, financial fraud and operational failures.
Sunday stressed the need for financial institutions and regulators to ensure that technological advancement strengthens the financial system without undermining its security, stability and integrity.
He advocated stronger cooperation between banks, regulatory authorities, fintech firms, payment service providers, professional organisations and other stakeholders to improve the sector’s capacity to tackle emerging risks.
The NDIC chief also encouraged banks to expand lending to productive areas, including agriculture, manufacturing, infrastructure and entrepreneurship, as a means of promoting sustainable economic development.
He urged financial institutions to place greater emphasis on identifying and preparing for risks before they develop into crises.
Sunday added that continuous investment in human capital, technology, governance and institutional capacity would be vital to creating a stronger and more resilient banking sector.
Meanwhile, the President and Chairman of Council of the CIBN, Dele Alabi, said disruption had increasingly become a major characteristic of the global economy.
He pointed to geopolitical conflicts, increasing energy prices and fast-paced technological advancements as some of the key challenges facing economies and financial institutions.
Alabi said ongoing conflicts in the Middle East and Ukraine were continuing to influence global energy supplies, food markets, shipping and financial systems.
He noted that artificial intelligence and fintech were transforming productivity, payment systems, lending and customer services, while also raising new challenges involving cybersecurity, data management, employment and systemic stability.
According to him, Nigeria remains vulnerable to these international developments through changes in crude oil and gas prices, increasing fuel and fertiliser costs, higher transportation expenses, exchange-rate pressures and shifts in capital movements.
Alabi said the country had responded through improved coordination between fiscal, monetary and energy policies, as well as measures aimed at increasing domestic production, strengthening food security and expanding social protection.
He noted that some of the measures introduced within the last two years were beginning to yield encouraging outcomes.
The CIBN president disclosed that 33 banks had successfully fulfilled the revised minimum capital requirements, with the banking sector mobilising N4.65tn in fresh capital.
