25th AIO Reinsurance Forum: Participants Examine Insurance Integration Into AfCFTA
Mr. Tope Smart, AIO President
The African Insurance Organisation (AIO) is happy to return to the birthplace of the African Continental Free Trade Area, Kigali, to examine not only how the insurance sector can best integrate into the AfCFTA, but to also provide a conducive venue for the cream of the African insurance industry to reflect on the way forward, President AIO, Mr. Tope Smart has said.
He said during the 25th African Reinsurance Forum, discussions will centre on the theme: “Insurance Integration in the Context of African Continental Free Trade Area.”
Smart who is also the Group Managing Director of NEM Insurance Plc said this while giving his address at the opening of the event which ended today in Kigali, Rwanda.
He said AIO will also use the event to highlight the contribution of the African insurance industry to the realization of the lofty idea, whose benefits to the entire African continent cannot be overemphasized and called on reinsurers to use the platform of the 25th Reinsurance Forum as golden opportunity to examine some of the inherent challenges facing the African insurance industry and provide lasting solutions.
He urged participants to leverage the event and do an objective dissection of the event theme, which is Insurance Integration In The Context Of African Continental Free Trade Area.
According to him, one of the instruments of ensuring a healthy, resilient, and robust economy for Africa no doubts remains the African Continental Free Trade Area (AfCFTA) agreement, adding that after deep reflection, the AIO Secretariat thought it wise that it incorporate insurance integration into the agreement.
He submitted that the African Continental Free Trade Area (AfCFTA) agreement will create the largest free trade area in the world measured by the number of countries participating, adding that the pact connects 1.3 billion people across 55 countries with a combined gross domestic product (GDP) valued at US$3.4 trillion according to the African Union.
He said AfCFTA has the potential to lift 30 million people out of extreme poverty but achieving its full potential will depend on putting in place significant policy reforms and trade facilitation measures.
He noted that in concrete terms, the AfCFTA emphasizes the reduction of tariffs and non-tariff barriers, and the facilitation of free movement of people and labor, capital, right of residence, right of establishment and investment.
Smart said AIO’s goal for setting up the reinsurance forum was to encourage the exchange of business through bilateral contacts and discussions which fall in line with the organisation’s objective of promoting inter-African cooperation and the development of a healthy insurance and reinsurance industry in Africa.
According to him, “since the inception of the Reinsurance Forum, there has been a lot of exchange of business among African industry practitioners, but there is still much room for further deepening of the business exchanges.
“One of Africa’s visionary leaders, His Excellency President Paul Kagame of the Republic of Rwanda once said “In Africa today, we recognise that trade and investment, and not aid, are pillars of development.” The AfCFTA agreement, to me, is that golden opportunity to make this a reality.”
