DICGC settles Rs 8,516 crore depositors claims, collects Rs 19,491 cr premium

The Deposit Insurance and Credit Guarantee Corporation (DICGC), which extends insurance coverage cowl to depositors, settled combination claims of Rs 8,516.6 crore underneath completely different channels throughout 2021-22.

During the fiscal FY22, deposit insurance coverage premium of Rs 19,491 crore was collected, of which 93.6 per cent was contributed by industrial banks and the remaining by co-operative banks. The Deposit Insurance Fund (DIF) stood at Rs 1.47 lakh crore, yielding a reserve ratio (ratio of DIF to insured deposits) of 1.81 per cent, the RBI stated.

During April 2021 to March 2022, the DICGC settled claims of 5 liquidated banks for an quantity aggregating to Rs 1,124.1 crore and 12 supplementary claims of liquidated banks aggregating to Rs 100.9 crore. The combination of fundamental claims and supplementary claims in respect of 16 city co-operative banks amounted to Rs 1,225 crore underneath Section 17 (1) of the DICGC Act 1961, the RBI stated.

In addition to this, an quantity of Rs 3,791.6 crore was offered to Unity Small Finance Bank (USFB) for making cost to the depositors of the erstwhile Punjab and Maharashtra Co-operative Bank Ltd (PMCBL) pursuant to the merger of PMCBL with USFB with impact from January 25, it stated. Thus, the overall claims settled amounted to Rs 5,059.1 crore.

Further, as per the amended Section 18 A of DICGC Act, the Corporation ought to settle the claims inside 90 days of imposition of such instructions. The claims settled underneath this channel within the case of twenty-two city co-operative banks underneath All Inclusive Direction (AID) amounted to Rs 3,457.4 crore as on March 31, 2022.

Deposit insurance coverage prolonged by the DICGC covers all industrial banks, together with native space banks and RRBs in addition to co-operative banks in all of the states and Union Territories. The variety of registered insured banks as on March 31, 2022 stood at 2,043, comprising 141 industrial banks (together with 43 RRBs, two LABs, six cost banks and 12 small finance banks) and 1,902 co-operative banks (33 StCBs, 352 DCCBs and 1517 UCBs).

As at end-March 2022, the restrict of deposit insurance coverage at Rs 5 lakh absolutely protected 256.7 crore deposit accounts (97.9 per cent of whole). In worth phrases, the insured deposits of Rs 81 lakh crore shaped 49.0 per cent of the overall assessable deposits.