The Managing Director of the Nigeria Deposit Insurance Corporation (NDIC), Umaru Ibrahim, has stressed the need for effective collaboration between regulators and operators in the banking system for enforcement of sound ethical standards and professionalism in the banking industry.

A statement issued by the corporation’s Head, Communications and Public Affairs, Mohammed Kudu Ibrahim, quoted the NDIC boss as making the call on Tuesday when the Executive members of the Chartered Institute of Bankers (CIBN) led by the President and Chairman of Council, Dr Uche Olowu, paid him a courtesy in Abuja.

Ibrahim noted that instances of abuse of extant regulations and ethical standards impacted negatively on the confidence in the banking industry and the entire financial system in general.

Specifically, he cited the recent involvement of some deposit money banks (DMBs) in illegal forex transfers as a wake-up call for better corporate governance and ethical behaviour by the banks.

The deposit insurance expert assured the CIBN President of the corporation’s readiness to strengthen collaboration with the institute in the enforcement of good corporate governance among banks as well as the promotion of high ethical standards and professionalism.

In addition, he pointed out that it was the primary responsibility of regulators to uphold strict compliance with international best practices and ethical standards in order to promote effective risk management and sound corporate governance in the banking industry.

He explained that this aligns with the corporation’s drive towards protecting depositors and enhancing public confidence in the financial system.

In his remarks, the President and Chairman of Council of the CIBN, Dr Uche Olowu, noted 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.

The banker pointed out that the recognition and the CIBN’s active collaboration with the corporation to entrench ethical standards were key drivers towards effective service delivery in the industry.

Olowu canvassed the need to extend the collaborative efforts further to joint research and knowledge-based events to enhance public awareness about the role of deposit insurance in the nation’s financial system.

He explained that the active participation of the NDIC in the activities of the CIBN Council, as well as its role in the nation’s economic development, informed the Council’s visit to formally invite the NDIC boss as a special guest and resource person at the CIBN 11th Annual Banking and Finance Conference