Insurance regulators and firms in Africa have been encouraged to lobby their respective governments for a change in insurance policies toward raking in the benefits of the African Continental Free Trade Area (AfCFTA) agreement.
The move, according to Mohammed Ibn Chambas seeks to ensure that the insurance space takes advantage of the free trade pact which has the potential to boost Africa’s trade, investment and job creation efforts.
Addressing participants at the opening ceremony of the AISADC/AIRDC educational conference in Accra on September 25, Ibn Chambas advocated for policies and rules that will protect the interest of businesses and policyholders.
“The primary mandate of all members of the Association of Insurance Supervisory Authorities for Developing Countries (AISADC) being to set rules and regulations for the proper functioning of the respective insurance industries and to protect the interests of policyholders, I would urge AISADC to lobby their governments to change their policies in favor of the AfCFTA agreement,” he stated.
Touching further on the importance of the free trade pact, Mr. Ibn Chambas said the insurance sector has helped address certain aspects of economic hardships and offered financial protection in Africa.
“Several global macroeconomic and geopolitical challenges, such as rising inflation, ongoing cross-border disruptions in some regions, and continuing COVID-19 concerns, threaten to decrease growth and profitability.
“The difficulties associated with embargoes on some economies and the disruptions to supply chains and maritime transport have threatened our efforts to establish a global economy based on the principle of the free flow of goods and services,” the renowned diplomat said.
He continued, “Yet, in my opinion, things would have been much worse if we hadn’t had insurance to play a critical role in promoting disaster resilience by providing financial protection and preventing negative economic hardships after the disasters.”
He however charged insurance regulators and insurance firms to center engagements that will propel the sectors growth, regulation, technological advancement, insurance expansion and equity.
The 22nd Conference of the Association of Insurers and Reinsurers in Developing Countries (AIRDC) / Association of Insurance Supervisory Authorities for Developing Countries (AISADC) was held on the theme; “Building Resilience in the Heat of a Global Economic Tussle.”
Mohammed Ibn Chambas