The Minister of Finance and Coordinating Minister of the Economy, Mr. Taiwo Oyedele, has said that financial stability and public confidence are indispensable to achieving sustainable economic growth, stressing that no economy can thrive without a resilient financial system built on trust.
Speaking on Tuesday at the opening of the 2026 International Association of Deposit Insurers (IADI) Africa Regional Committee (ARC) Annual Meeting and Workshop in Abuja, Oyedele said safeguarding financial stability has become increasingly important as economies confront emerging risks and opportunities.
The workshop, themed “Safeguarding Stability: Public Awareness and Crisis Readiness for a Stronger Future,” brought together financial regulators, policymakers and industry experts from across Africa to discuss strategies for strengthening deposit insurance systems and improving crisis preparedness.
According to the minister, financial stability goes beyond technical policy discussions, as it directly affects businesses’ access to credit, households’ ability to save securely, investor confidence and government’s capacity to implement development programmes.
“There can be no economic growth without financial system stability, and there can be no financial stability without public trust,” Oyedele said.
He described deposit insurance as a critical pillar of modern financial infrastructure, noting that it has evolved from a mechanism for resolving failed banks into a proactive instrument for preventing financial crises and strengthening public confidence.
The minister warned that in today’s digital era, misinformation and rumours spread rapidly through social media and can trigger panic among depositors even when financial institutions remain financially sound.
“If depositors are unaware that their funds are protected, fear can quickly replace confidence. Public awareness is therefore not merely a communication exercise but a core risk-management strategy,” he said.
Oyedele also stressed the need for robust crisis preparedness, urging governments and financial institutions to establish strong frameworks, effective communication channels and coordinated response mechanisms before emergencies occur.
Highlighting the Tinubu administration’s economic reforms, he cited the unification of the foreign exchange market, removal of fuel subsidy and the discontinuation of the Central Bank of Nigeria’s Ways and Means financing of government deficits as major milestones.
He also disclosed that the banking sector recapitalisation exercise concluded in March 2026 with 33 of Nigeria’s 37 banks meeting the new minimum capital requirements. According to him, the banks collectively raised ₦4.65 trillion in fresh capital, with more than 70 per cent sourced from domestic investors.
Oyedele said the stronger capital base has enhanced the resilience of Nigeria’s banking sector while reducing pressure on the nation’s deposit insurance framework.
He further identified Nigeria’s removal from the Financial Action Task Force (FATF) Grey List in October 2025 as another landmark achievement that has boosted international confidence in the country’s financial system.
The minister attributed the development to sustained reforms that strengthened anti-money laundering measures, improved beneficial ownership transparency and enhanced collaboration among regulatory agencies.
He added that deposit insurance also promotes financial inclusion by encouraging citizens to save with confidence, thereby increasing funds available for lending, investment and job creation.
Calling for deeper continental cooperation, Oyedele urged African regulators to strengthen collaboration in addressing emerging risks associated with cross-border banking, fintech innovation and expanding digital payment systems.
He encouraged African countries not only to adopt international best practices but also to contribute to shaping global financial standards by leveraging the continent’s unique experiences in financial inclusion and digital finance.
“Confidence cannot be legislated, purchased or imposed. It must be earned through strong institutions, transparency, effective communication, preparedness and consistent action,” he said.
He commended the International Association of Deposit Insurers, the Africa Regional Committee and the Nigeria Deposit Insurance Corporation (NDIC) for organising the workshop, urging participants to remain committed to protecting the savings and livelihoods of Africans through stronger financial safety nets.
In his remarks, the Governor of the Central Bank of Nigeria (CBN), Mr. Olayemi Cardoso, represented by the Director of the Other Financial Institutions Supervision Department (OFISD), Mr. Solaja Muhammed-Jamiu Olayemi, underscored the importance of public confidence in the banking sector.
“For central banks, deposit insurers, supervisory authorities and resolution agencies, crisis preparedness is not optional—it is an obligation,” he said, adding that effective crisis management requires seamless coordination, timely information sharing, clearly defined mandates and a shared commitment to preserving financial stability.
He noted that as financial services increasingly migrate to digital platforms, public confidence will depend not only on the safety of deposits but also on institutions’ ability to maintain operational continuity, safeguard customer information and respond effectively to cyber threats and other disruptions.
“This underscores the importance of strengthening institutional preparedness and ensuring that crisis management frameworks remain fit for purpose in an increasingly dynamic environment,” he added.
Earlier, the Managing Director and Chief Executive Officer of the Nigeria Deposit Insurance Corporation (NDIC), Mr. Thompson Oludare Sunday, described public awareness as a fundamental pillar of effective deposit insurance systems.
He said informed depositors are less likely to react to rumours and misinformation during periods of uncertainty.
“Public awareness must therefore be treated not as a peripheral concern but as a pillar of stability. Equally important is robust crisis preparedness. The lessons from the 2023 banking turmoil underscore the need for readiness in safeguarding financial stability,” he said.
Speaking with journalists on the level of cooperation among African countries on deposit insurance, Sunday said Nigeria has remained at the forefront of deposit insurance on the continent as one of the founding members of the International Association of Deposit Insurers.
He said the NDIC has consistently supported African countries through capacity building, knowledge sharing and peer reviews, noting that the Abuja meeting provides an opportunity for stakeholders to address common challenges such as financial inclusion, poverty and inadequate public information.
“The way the world is today, geographical boundaries are no longer barriers. Financial crises can originate from anywhere. Together, we are stronger, and that is the essence of this meeting,” he said.
Also delivering a goodwill message, Chairman of the Senate Committee on Banking, Insurance and Other Financial Institutions, Senator Mukhail Adetokunbo Abiru, said the conference theme aligns with the legislature’s commitment to protecting public trust, strengthening systemic resilience and promoting inclusive economic growth.
Drawing from his banking experience, Abiru said financial stability is “the quiet heartbeat of a thriving nation” and the difference between an orderly resolution and a disorderly financial panic.
He stressed that safeguarding financial stability is a shared responsibility involving regulators, safety-net institutions, deposit insurers and the legislature, whose role, he noted, is often overlooked but remains critical to building a resilient financial system.
