DRC:Government wants to set up a deposit guarantee fund

Oct 10, 2012

The DRC government announced on October 8th its intention to set up a deposit guarantee fund.

The DRC government announced on October 8th its intention to set up a deposit guarantee fund.

Budget Minister Daniel Mukoko explained that this fund is becoming a necessity as the number of bank accounts is steadily increasing in the country.

This fund would protect account holders in the event of a bank failure.

"Thus, the deposit guarantee fund acts as a bank deposit insurance", said Daniel Mukoko, quoted by the newspaper Prosperity.

The mitigation of risks linked to deposits should encourage the unbanked to use banking services, thereby stimulating the development of the financial system and the economy.

This announcement comes a few days after the Council of Finance Ministers of the West African Economic and Monetary Union urged the Central Bank of West African States to implement a similar deposit protection system.

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