..As NAICOM Targets Revenue Surge, Re-capitalisation Drive
By Christiana Ekpa
The Nigeria Deposit Insurance Corporation (NDIC) has recorded a remarkable 97 per cent implementation of its 2025 budget, positioning itself among the top-performing government agencies in terms of fiscal discipline and execution.
This was disclosed the budget defence session before the House of Representatives Committee on Insurance and Actuarial Matters, where the NDIC Managing Director/Chief Executive, Mr. Thompson Oludare Sunday, presented the Corporation’s 2025 performance and proposed estimates for 2026.
Chairman of the Committee, Hon. Ahmed Jaha Babawo, commended the agency for its strong financial management, noting that its performance contrasts sharply with several Ministries, Departments and Agencies (MDAs) that recorded poor or zero capital budget implementation.
“I want to put it on record that NDIC is one of the agencies operating strictly under the Fiscal Responsibility framework on cost-to-income ratio,” Jaha said. “Fifty per cent of its generated income is remitted to the Consolidated Revenue Fund of the Federal Government, while the remaining 50 per cent is retained for operations.
“Despite this limitation, NDIC achieved nearly 97 per cent budget implementation in 2025. Many other agencies recorded zero performance, particularly on capital expenditure.
This achievement reflects its efficiency as a self-generating, government-owned enterprise operating within fiscal responsibility guidelines.”
For the 2026 fiscal year, the NDIC proposed a total budget of ₦589.89 billion, representing an increase of ₦151.22 billion over the 2025 appropriation.
According to Sunday, the projected total expenditure for 2026 stands at ₦250.46 billion equivalent to 50 per cent of the Corporation’s projected income in compliance with the cost-to-income ratio policy.
The Corporation also projected a surplus of ₦254.74 billion for 2026, with about ₦252.60 billion expected to be remitted to the Federal Government in line with statutory provisions.
Sunday explained that the projections were carefully structured to maintain regulatory stability, ensure operational efficiency, and sustain depositor protection within Nigeria’s financial system.
Meanwhile, the National Insurance Commission (NAICOM) has projected improved revenue performance and unveiled plans to deepen reforms in the insurance sector.
Presenting the Commission’s 2026 budget before the same House Committee, the Commissioner for Insurance, Mr. Olusegun Omosehin, proposed a total expenditure of ₦25.667 billion, alongside a projected net revenue of ₦25.702 billion.
He disclosed that NAICOM’s Internally Generated Revenue (IGR) is expected to rise to ₦34.270 billion in 2026 an increase of ₦4.348 billion from the ₦29.921 billion projected for 2025, representing a 14 per cent growth.
Omosehin attributed the projected increase to new revenue-boosting initiatives and stricter measures to curb leakages.
He also appreciated the support of the National Assembly in passing the Nigerian Insurance Industry Reform Act, recently signed into law by President Bola Tinubu, describing it as a milestone for sectoral transformation.
On industry reforms, the Commissioner confirmed that NAICOM has commenced the re-capitalisation of insurance companies as the first phase of a broader restructuring agenda.
“The goal is to reform, rebuild and recapitalise the sector.
We are committed to a transparent process,” he said, adding that the recapitalisation exercise will conclude on July 31, 2026. Only firms that meet the new minimum capital requirements will continue operations thereafter.
The dual presentations underscore renewed efforts by key financial regulators to strengthen fiscal performance, enhance transparency, and reinforce stability across Nigeria’s banking and insurance sectors.
