other OECD countries are insured. The coverage limit was initially HUF 1 million (approximately $3700), which was raised to HUF 3,222,222 on January 1<sup>st</sup> , 2003 and to HUF 6,555,555 on May 1<sup>st</sup> , 2004. The maximum coverage is calculated per depositor per institution.

_Sources_ : Own survey of deposit insurers, Garcia (1999), IADI Survey: Hungary (2003), Kyei (1995), and Ministry of Finance of Hungary (1993).

**Iceland.** ( _Deposit Insurance Fund for Savings Banks; Deposit Insurance Fund for Commercial Banks, Acts 86, 87/1985; Depositors’ and Investors’ Guarantee Fund 98/1999_ ) The deposit insurance system of Iceland was first established in 1985. There were separate schemes for commercial banks and savings banks which were monitored by the supervisory agency. The fund for the banks had a member of the government on its board. Even though the coverage in principle was full, the system was considered to have a co-insurance mechanism due to the fact that above the minimum coverage limit of ECU 20,000, the actual compensation of depositors were determined according to the resources of the fund, which received no public support. Act 98/1999 established the new scheme and the Fund in accordance with the EU directives since Iceland is a member of the European Economic Area (EEA). The new fund took over the assets of the previous two funds, and it is both privately established and administered. The Central Bank provides such services as accounting and bookkeeping as well as securing valuable documents. The membership to the Fund is mandatory. The coverage limit was ISK 1,700,000 which is tied to the EUR exchange rate as of January 5<sup>th</sup> , 1999 (approximately EUR 21,000) and hence, is worth ISK 2,091,000 as of 2003. Coverage is extended per depositor.

_Sources_ : Own survey of deposit insurers, Garcia (1999), IADI Survey: Iceland (2003), Kyei (1995).

**India.** ( _Deposit Insurance and Credit Guarantee Corporation (DICGC), DICGC Act, 1961_ ) The DIS of India was established in 1962 following two bank failures in 1961. Initially the system covered exclusively the commercial banks. In 1968 cooperative bank with a minimum size operating in states having pertinent legislation was included in the system. In 1975 coverage was extended to rural banks as well. The coverage limits have been changed in time as follows: initially Rs 1,500; Rs 5,000 in 1968; Rs 10,000 in 1970; Rs 20,000 in 1976; Rs 30,000 in 1980, and Rs 100,000 since May 1<sup>st</sup> , 1993. The system is administered officially. Certificates of deposits, government, inter-bank, and illegal deposits are not covered. _Sources_ : Deposit Insurance and Credit Guarantee Corporation-India (2004), Garcia (1999), Kyei (1995), Talley and Mas (1990).

**Indonesia.** There exists a full blanket guarantee in Indonesia since 1998 in response to the banking crisis. The government is planning to offer an explicit, limited, and self-funded deposit insurance scheme. _Source_ : IMF Factsheet (1998).

**Ireland.** ( _Deposit Protection Account, Central Bank, Central Bank Act, 1989_ ) The Irish DIS was established in 1989. The system is administered officially. Public funding may be available through central bank and government support with parliamentary approval.   Initially 80% of the first 5000 pounds, 70% of he next 5000 pounds, and 50% of the next 5000 pounds was covered. In July 1995 the coverage limit was set at ECU 15,000. Currently it is at 90% of EUR 20,000. The system does not extend coverage to certificates of deposits, deposits of major owners and senior managers, and money launderers. _Sources_ : Garcia (1999), Institute of International Bankers (1996), Kyei (1995).

**Isle of Man.** ( _Financial Supervision Commission, Banking Business Regulations-Compensation of Depositors, 1991_ ) The scheme came into effect on August 14<sup>th</sup> , 1991 and it is officially legislated and administered. The maximum coverage per depositor per institution is the lesser of 15,000 pounds or 75% of the deposit amount. The insurance covers saving and checking accounts, certificates of deposit and foreign currency deposits. There is no permanent fund and the funding required by participants in the event of a claim is the greater of 25,000 pounds or the sum of 0.125% of the average sterling and foreign currency deposits subject to a maximum of 250,000 pounds.

_Sources_ : Own survey of deposit insurers, IADI Survey: Isle of Man (2002).

**Italy.** ( _Inter-bank Deposit Protection Fund_ ) The DIS of Italy was established in 1987 and in 1996 the EU Directive 94/19 was accepted. There were separate systems for banks and cooperative institutions initially. Even though the scheme is privately established and administered, we consider it to be jointly administered, due to the fact that most decisions must be approved by the central bank. Criminal, government, insider,

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