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THE ROLE OF NIGERIA DEPOSIT INSURANCE CORPORATION IN THE BANKING SECTOR
CHAPTER ONE
INTRODUCTION
1.1 Background of the Study
The practice of modern banking in Nigeria dates back to 1892. The pioneer banks were understandably expatriate institutions set up to facilitate the colonial administration as well as trade with Britain. The first bank was set up in 1892 and it was called the African Banking Corporation which opened the first branch in Lagos and this was championed by Elder Dempster and co; a shipping firm based in Liverpool but had it branches in Lagos in 1894 another bank called the British Bank for British West Africa. The bank acted as an agent of the bank received, stored and issued the West Africa silver coins in exchange for sterling coins or London drafts. This bank later changed its name to standard bank.
In 1899, the Anglo-African bank was established in compete with the British bank of West Africa. The bank was established in old Calabar but because of the monopoly enjoyed by the British Bank of West Africa for the importation of silver from the royal mint in Britain, the Anglo African bank sold after it, changed its name to bank of Nigeria to BBWA. Another bank opened in 1917 called the Barclays bank DCO (Dominion Colonial and Overseas).
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