Impact of a new synergy between Insurance and Mining sector in Nigeria

Former Managing Director of the Nigerian Mining Corporation (NMC), Amb. Biodun Olorunfemi has called on stakeholders to manage risks associated with mining business by providing access to funds, while ensuring that operators comply with global best practices. He said the involvement of finance and insurance sector professionals will further address the problem.

The former Nigerian Ambassador to Namibia gave the charge while presenting a paper titled ‘Managing risks associated with non-oil resources exploration, at the 2016 National Insurance Conference in Abuja.

Recalling some “strides of the administration within a short span,” Olorunfemi said: “We must join hands to support this government for prioritizing the non-oil sector as a focus for national prosperity,” adding that the Minister of Solid Minerals has already confirmed the readiness of the Buhari administration to fund exploration as well as provide intervention fund for development of the sector.

While calling on regulators and operators of mining and insurance sectors in Africa to brace-up and strengthen the insurance systems in the continent, he disclosed that Africa ranks lowest in the index of insurance penetration across the continents.

Olorunfemi called for an all-inclusive approach to the problem by saying; “Governments at all levels and all stakeholders must think outside the box,” Nigeria should take a clue from the experience and success of Canada, China, Singapore, and Australia where he said, mining insurance companies played crucial roles in national economic development

 

Source: Daily Trust