Kenya Deposit Insurance Corporation

The Kenya Deposit Insurance Corporation (KDIC) is a statutory institution established in 2012 under the Kenya Deposit Insurance Act, 2012, headquartered at UAP Old Mutual Towers in Nairobi's Upper Hill and operating under the Central Bank of Kenya. It provides a deposit insurance scheme for customers of member institutions while promoting sound risk management and financial system stability, collecting contributions from member banks through a flat-rate fee of 0.15 percent of deposits plus risk-adjusted fees and managing the resulting fund for payouts when member institutions fail. The Central Bank can designate KDIC as receiver or liquidator when a member institution's liabilities exceed its assets, when it violates regulations, or when it cannot meet its financial obligations; recent interventions include managing the 2015-2016 failures of Dubai Bank Kenya, Imperial Bank Kenya and Chase Bank Kenya.