Yemisi Izuora
Analysts and foreign Insurance firms are optimistic about huge potentials that abound in Africa to grow their business.
They are being attracted by the Continents rising economic growth which are primarily supported by resources boom, growing industrialization, infrastructure development and rapid urbanization as great opportunities for the insurance industry to increase their relevance and become competitive globally.
Some industry operators who made remarks at the African insurance Organisation (AIO) Conference and General Assembly in Tunisia shared the understanding that rising employment levels, demography, social change, technology, environmental change, regulatory change and political stability would help insurance build capacity that will enable them support the continent.
According to Jean-Baptiste Ntukamazina, president of AIO, As insurers, operators must take advantage of the opportunities and benefit from the perspective growth in various sectors.
Positive changes of African economies will impact on healthcare services, housing and urban infrastructure, protection of assets and increased savings among others.
Speaking further Ntukamazina said
“These are exactly the opportunities we have to tap into by proposing new products, increasing insurance penetration, improving distribution techniques and cost-cutting among others.”
“And because our profession is risk taking, we can boost, push and support other businesses by mitigating their risks and hence ameliorate the lives of our populations.”
He said that as actors of Africa’s economy, stakeholders would need to rise up to threat on economic activity.
He explained that this year’s conference theme, “African Insurance facing mass events” is apt and of great importance, but noted that “for our different economies to prosper, we need favorable political environment, security and good governance”.
Also, Salim Chakcn, minister of finance, Tunisia said the government is looking up to the insurance sector in the continent to assist the country mitigate risks and mobilise long term funds for infrastructure development.
According to Chakcn, Government would continue to initiate policies and programmes that support small and medium scale business, as they are potential consumers of insurance.