The 27th African Reinsurance Forum of the African Insurance Organisation has ended in the Tunisian capital, Tunis with a record participation.
Registration statistics show over 500 delegates took part in the event, for which only 300 were expected.
Initially scheduled to hold in Libreville, Gabon, the event was moved to Tunisia due to political developments in Gabon.
The event held under the theme “ Paradigm Shift: Can Africa’s (re)insurance industry support a self-funded Africa?”
Speaking at the opening ceremony of the 27th Africa Reinsurance Forum, the President of the African Insurance Organisation, Mr. Benhabiles Cherif noted that “At a time when Africa’s infrastructure gap is not only huge but continues to grow at an alarming rate, the big questions are, can we talk about sustainable growth and development without addressing Africa’s infrastructural problem? Can reinsurers play any role in financing the infrastructural development of Africa?
He went further to add that “Bridging the infrastructure gap in Africa requires trillions of dollars. At the same time, it is generally believed that insurers are among the world’s largest investors with huge funds at their disposal.
“So why don’t more African insurers and reinsurers invest in the continent’s large infrastructure projects?” he questioned.
The AIO President’s speech went further to reveal that Africa’s reinsurance market has grown significantly over the last two decades, supported by sound economic growth, an improving regulatory environment and introduction of new and innovative products.
There is an opportunity to engage and incentivize reinsurance companies to fund development across the continent. Some of these reinsures are sitting on substantial capital bases, which could be used to invest in a development fund for the continent, instead of cash balances placed in overseas investments.
The reinsurance premiums in the continent have grown tremendously over the years. Regrettably, these funds are currently not contributing meaningfully to finance Africa’s infrastructure gaps.
BACKGROUND
The inability of African insurance players, with the exception of only a few, to participate at international reinsurance fora such as The Monte Carlo Rendez-Vous and Baden-Baden Reinsurance Meeting gave birth to the African Reinsurance Forum in 1995. The first edition took place in Lome, Togo.
Through this Forum, the African Insurance Organisation encourages bilateral exchanges, renewals, networking opportunities, exhibitions, and touristic outings.
The African Reinsurance Forum is an avenue to meet and network with industry leaders, a milieu for the examination of the reinsurance industry challenges and devising of solutions.
Prior to the establishment of the African Reinsurance Forum, discussions in major reinsurance fora centered mostly on global issues while there was no reference to the African insurance market or African insurance market experience. Also, foreign intermediaries were reluctant to place business with African reinsurers. The response of the African Insurance Organisation to this challenge was the establishment of the African Reinsurance Forum in 1995.
It is customary since 1995 that AIO holds a forum for the African (re) insurance industry with the above perspectives adapted to African realities.
