Editor's Review

The Kenya Deposit Insurance Corporation (KDIC) has urged Kenyans affected by the liquidation of 19 financial institutions to reach out to the corporation.

The Kenya Deposit Insurance Corporation (KDIC) has urged Kenyans affected by the liquidation of 19 financial institutions to contact the corporation for updates on pending payouts.

In a statement released on Monday, December 30, KDIC disclosed that it has so far paid Ksh90 billion to affected depositors.

The corporation noted that it has lined up more dividend payouts to the depositors of the liquidated financial institutions and was committed to settling all claims.

"Any depositor who was affected by the collapse of the 19 financial institutions in liquidation, is encouraged to reach out to us for updates on pending payout. So far, we have paid more than KES 90 billion shillings to affected customers and remain committed to promptly settling all outstanding supported claims,” KDIC CEO Hellen Chepkwony stated.

Among the 19 financial institutions that have been liquidated include Postbank Credit Ltd, Trade Bank Ltd, Middle Africa Finance Ltd, Pan-African Bank Ltd, Pan-African Credit & Finance Ltd, Thabiti Finance Co. Ltd, Meridien BIAO Bank Ltd, Kenya Finance Bank Ltd and Ari Bank Corporation Ltd.

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Fike image of KDIC CEO Hellen Chepkwony with Homa Bay Governor Gladys Wanga.

Others are Prudential Bank Ltd, Reliance Bank Ltd, Trust Bank Ltd, Euro Bank Ltd, Prudential Building Society, Daima Bank Ltd, Dubai Bank Kenya Limited, Chase Bank Kenya Limited, Charterhouse Bank Limited and Imperial Bank Limited.

Meanwhile, KDIC maintained that it has put in place policies and strategies that are geared towards enhancing the corporation’s mandate and strengthening the financial sector in 2025.

The KDIC CEO highlighted four key focus areas critical to achieving the state agency's vision, which include deposit insurance, risk minimization, resolution of troubled banks, and strengthening institutional capacity.

KDIC is a state agency established under the Act of Parliament, KDI Act Cap. 487C, whose mandate is to provide deposit insurance for member institutions (banks), liquidate, and wind up troubled banks. 

Read Also: KDIC: The Government Agency Securing Kenyans' Bank Deposits 

In fulfilling its mandate, KDIC protects depositors against the loss of all their deposits or bank balances in the unlikely event of a bank failure by providing payments of insured deposits.